The Blues Brothers guitar Company makes three types of guitar. The Company has used a traditional…

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Scenario

The Blues Brothers guitar Company makes three types of guitar. The Company has used a traditional

product costing system with direct labour hours as the only cost driver for overhead application, but

has asked you to develop a full activity based costing method solution for product costing and

profitability measurement.

Start by downloading the assessment workbook from iLearn and copying/moving it to an appropriate

folder. When you open the workbook it is very important that you Enable Macros/Content. You will

then be asked to enter your Student Number (you will not be able to edit it afterwards, so type it in

carefully) and then enter your Student Name.

General Guidelines

• All the light blue cells require you to insert some form of calculation, i.e. start with an “=”, just

typing in the answer will result in 0 marks.

• Do not change the structure of the workbook in anyway or put any workings anywhere other

than directed.

• Only use rounding functions where specifically requested.

• The use of named ranges and tables is encouraged, and in certain cases required.

• Because you are developing a model that we will wish to use for future months and different values

it is very important that all calculations will return a correct answer regardless of the values in the

spreadsheet and must still work correctly when the lists of data (Labour Costs, BOM & Inventory)

are sorted in a different order.

• Double check your answers as you go as one wrong result may affect other results.

• Remember to save often.

• When you are ready to submit, save, close and upload the completed Excel File to iLearn (Excel

Submission). You do not need to rename it as your student number will be automatically attached

by iLearn, but please ensure that it is an Excel file you submit, (Numbers files will not be accepted)

and that there are no “non-English” characters in the file name as these files cannot be opened

in an English version of Excel.

Detailed instructions are provided on the following pages. Please follow each of the instructions

precisely.

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