SCM 860- Financial and Management Accounting GROUP ASSIGNMENT- WINTER 2025
This coursework assignment constitutes 18% of the assessment for this course. (Written submission – 11% and Q&A session- 6%)
This is a group project. Each team will have 5-6 members. You can select your group members and create your team. The teams are expected to work cohesively to plan and prepare the assignment.
The teams will have periodic meetings with me once the project kickstarts.
Do research. Always ensure to acknowledge your sources and to fact-check before adopting any information.
The written assignment is to be submitted through the blackboard.
Assume you have established a medium sized manufacturing business in Canada. Your business receives an order from Walmart to supply 250,000 pieces/packets/cases of your product before April 1, 2025. The consignment is to be delivered to the Walmart warehouse located at Mississauga, Ontario.
Your product can be anything. You can select a simple product that requires a simple manufacturing process. OR, you can select a product you are acquainted with: iPhone cases, folding chairs, queen bedsheets, beach slippers, aesthetic rubber mouse pad, cloth masks, rubber doormat, car floor mats, candles, rubber bands, maple syrup, pocket hand sanitizers, fruit cake, Plum cake, wine, chocolate cookies, bread, frozen burgers…….
Your group must select a product 12 February, 2025. Enter the selected product in the shared Journal document posted under assessments folder in BB. Product selected by one group cannot be used by other groups. Therefore, the groups must enter their products at the earliest.
Prepare the following folios. Limit a folio to 1-2 pages.
Folio 1: Assume your enterprise has been in operation for the last three years. Create a business profile/company profile stating:
- 1.1 Your business, location,
- 1.2 Capital investment, current technology,
- 1.3 Process of Operation,
- 1.4 Labor, Types of labor
- 1.5 Supplies and procurement,
- 1.6 Current markets, opportunities
- 1.7 Financial analysis (Simple Income statement for last 3 years-2022, 2023, 2024 and projections for next 3 years- 2025,2026 &2027).
The company must be your own. It shall not be an existing company. Include only the relevant information.
Folio 2: You may consider the Walmart order as a job order work.
- 2.1 Prepare a Production schedule- timebound plan to fulfil the Walmart order. Be specific about the timeline- start of production Schedule -March 15, End of Production Schedule March 30, shipment dates etc.-.
Assess and explain:
- 2.2 The Production process,
- 2.3 Direct and Indirect materials required at each step (quantities, source, price),
- 2.4 Direct labor and indirect labor required, cost of labor,
- 2.5 Other Manufacturing overheads
- 2.6 Predetermined overhead rate
Explain the rationale for Predetermined OH rate. Use group think and research.
Folio 3: Show
- 3.1 Material requisition slips,
- 3.2 Labor time tickets and
- 3.3 The comprehensive job cost sheet in proper format.Show total cost and unit cost.
Folio 4:
- 4.1 Assign the above costs to create a finished goods inventory record for the Walmart job. Assume zero beginning and ending inventory.
- 4.2 Assuming 250,000 pieces are delivered on April 1, 2025, calculate the cost of goods sold a Unit cost of goods sold.
Folio 5:
- 5.1. Decide a markup price for the consignment.
Explain the rationale
- 5.2. Calculate the Sales revenue from the Walmart order.
- 5.3. Bifurcate variable fixed manufacturing costs.
- 5.4. Estimate related variable and fixed period costs