ASSIGNMENT

Course Code : MS-43

Course Title : Management Control Systems

Assignment No. : 43/TMA/SEM-I/2016

Coverage : All Blocks

Note : Attempt all the questions and submit this assignment on or before 30th April, 2016 to the  Coordinator of your study centre.

1. Discuss the interlinkages between some of the new management techniques such as TQM,  JIT and Activity Based Costing, with the conceptual foundations of Management Control  Systems.

2. Select any Organization of your choice and study in detail whether Responsibility Centers  are essential for that Organization or not? If you think the Responsibility Centers are  essential describe how the Organization should go about it.

3. A Fertilizer company has given the following budget expense for the production of 10,000  bags of a particular product.  Per unit  Direct materials  Direct labour Variable overheads Fixed overheads (Rs. 1,50,000) Variable expenses (direct)  Selling expenses (10% fixed)   Administrative expenses (Rs. 50,000 rigid  for all levels of production)  Distribution expenses (20% fixed)  Total cost of sale per unit  Rs. 60 30 25 15 05 15 05  05 160  Prepare a budget for production of 6,000; 7,000 and 8,000 bags, showing distinctly marginal cost and total cost.

4. Explain as to how a service organization is different from that of a manufacturing  organization? Do these differences affect the control system design of these organization?  If yes how.