Coleg Meirion Dwyfor Qualification Title BTEC Level 3 Foundation Diploma/Diploma/Extended Diploma in Engineering (RQF) Name Learning aims B.P3 Code DLGT9/DLXD7/DLXD8 B.P4 Unit (s) Date assignment set B.M2 B.D2 Title Activity-Based

Costing Learner signature Tutor Learner declaration I certify that the evidence submitted for this assignment is my own. I have clearly referenced any sources used in the work. I understand that false declaration is a form of malpractice. Unit 4 :- Applied Commercial and Quality principles in Engineering Tutor declaration Learning Aim B Criteria Tutor Comments Tutor signature Submission Date Date Date BTEC I certify that to the best of my knowledge the evidence submitted for this assignment is the learner's own. The learner has clearly referenced any sources used in the work. I understand that false declaration is a form of malpractice. Feedback Date Coleg Meirion Dwyfor BTEC Coleg Meirion Dwyfor Only one resubmission is possible per assignment, providing that any resubmission evidence must be submitted within 15 working days of receipt of results of assessment, and the following The learner has met initial deadlines set in the assignment, or has met an agreed deadline extension. Approved The tutor considers that the learner will be able to provide improved evidence without further guidance. Evidence submitted for assessment has been authenticated and accompanied by a signed and dated declaration of authenticity by the learner. Feedback Date All resubmissions must be authorised by the Programme Leader. Learner declaration Learner signature B.P3 B.P4 RESUBMISSION RESUBMISSION AUTHORISATION B.M2 Targeted Criteria Tutor Comments B.D2 Tutor declaration Tutor signature Not approved Llofnod Rheolwr y Rhaglen Programme Leader signature Resubmission Date Date I certify that the evidence submitted for this assignment is my own. I have clearly referenced any sources used in the work. I understand that false declaration is a form of malpractice. Date BTEC Y or N I certify that to the best of my knowledge the evidence submitted for this assignment is the learner's own. The learner has clearly referenced any sources used in the work. I understand that false declaration is a form of malpractice. Feedback Date Learners must read the following before starting the assignment: Learners MUST list any references or web-sites used at the end of your assignment. No Copy & Paste. The only instance when C&P will be allowed is when the text in question is placed within speech marks (i.e. "...in here..."), fully referenced and summarised in your own words. If diagrams or pictures are pasted in, they must be annotated/labelled to modify from the original. All questions are presented outside “Guidance Boxes". These must be answered comprehensively and to the letter in order to achieve related criteria. Any text placed in a box that follows "Guidance-" is a question outline and is there to provide a content framework for a comprehensive and correct answer. If a learner wishes to answer the question using a different approach, as long as the question is answered to a satisfactory level, then it is acceptable. Unit/Criteria Reference B.P3 Coleg Meirion Dwyfor B.P.4 B.M2 B.D2 Sources of information to support you with this Assignment Other assessment materials attached to this Assignment Brief Grading Criteria covered in this assignment BTEC To achieve the criteria you must show that you are able to: Explain why an engineering organisation controls costs Produce an activity-based cost model for an engineering product or service Produce accurately an activity-based cost model for an engineering product or service, explaining the reasons for cost controls Produce an accurate and refined activity-based costing model, during the process, for a product or service to determine the major cost areas that could impact on profitability, explaining the reasons for cost controls 4-2 Case Study Welcome Furniture Coleg Meirion Dwyfor BTEC Vocational Scenario or Context You are working as a final year apprentice at Welcome Furniture in Caernarfon. Your supervisor is pleased with the investigations you completed into ways that your company could gain a competitive advantage. Your supervisor has now asked you to investigate reasons why an engineering organisation would wish to control costs, so they can be considered in your organisation. To do this, your supervisor wants you to find out about the different types of costs that an engineering organisation will encounter, and ways in which these costs could be controlled. You will work with the owner Mr John Peterson and Senior engineer Adam Smith to identify the activities and processes at Welcome Funritire's manufacturing site. Task 1 You are going to investigate a) how an engineering organisation allocates costs; and b) the ways in which costs can be controlled within an engineering organisation. You will also use activity-based costing to identify any inefficiencies associated with the engineering activities. To do this: Your tutor will provide you with a case study that includes financial information about an engineering organisation which either produces engineering products or provides an engineering service. You should then: Investigate and report on the reasons why engineering organisations want to analyse and control costs, including how decision making can be influenced. Use the case study to research the costs associated with either producing a product or providing an engineering service. You should investigate how costs are allocated to individual activities, including direct costs, indirect costs, variable costs, semi-variable costs, fixed costs and general/administration costs. You should then use the case study to complete and record an iterative activity-based costing exercise to generate an activity-based cost model for an engineering product or service. This costing exercise should include five stages: 1) identifying activities; 2) assigning resource costs to activities; 3) identifying outputs; 4) assigning activity costs to outputs; and 5) assigning activity cost pools. Finally, you should reflect on the results of your activity-based costing exercise, by: a) explaining how costs are categorised; b) identifying those cost areas that have the greatest impact on the profitability of the product or service that you have investigated; and c) evaluating the reasons for producing an activity-based cost model. A research and problem solving project to explore the costs associated with engineering activities and to complete an activity-based cost model for a product or service.