Forums › Ask ACCA Tutor Forums › ACCA Ethics and Professional Skills Module › Problem in calculating outsourcing cost
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adam1234.
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- May 15, 2024 at 5:12 pm #705452
Answer to option A is as following:
Salaries = Head of Accountant Salary (unchanged) + (2 Fully Qualified (FQ) Accountants + 3 Part Qualified (PQ) Accountants + 4 Accounting Technicians )*10%)
Additional cost = Salaries*25%
Amortisation of non-current assets = same as before
Accounting admin costs: materials and variable overheads = same as beforePlug in the number into Excel and it will give you the correct answer.
July 2, 2024 at 10:26 am #707726Hi All! I have successfully been able to solve Q1 for Option A after weeks of trying! It was so confusing but I will list the method below to help!
Step 1) Calculate the salaries. Complete the sum of:
Head of Accounts = salary is unchanged
FQ = (2 x FQ cost) * 1.10
PQ = (3 x PQ cost) * 1.10
AT = (4 x AT cost) *1.10
= Total all of the above to get the TOTAL SALARY COST.Step 2) Calculate 25% of the TOTAL SALARY COST.
Step 3) Sum the below for other costs. Note: these are unchanged so take the amounts as listed.
Amortisation + Accounting admin costs = TOTAL OTHER COSTS.Step 4) Total everything to get your final answer:
S1) TOTAL SALARY COST X
S2) TOTAL SALARY COST * 25% X
S) TOTAL OTHER COSTS X
TOTAL = ANSWERHope this helps you guys! You only need 50% to pass so if you use the above for Q1, leave Q2 blank if you cannot calculate and then Q3 is multiple choice so is straightforward.
July 24, 2024 at 12:02 pm #708814Hi,
I am struggling with the accountancy department quiz questions 1 and 2. I have tried almost every suggestion on here and still haven’t managed to find the correct answer.Please can someone help
Thanks - AuthorPosts
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