Question 1 (CLO1,3):

Critically evaluate the differences between absorption and variable costing methods. In your opinion, appraise the implications of absroption costing in business decisions.

(25 Marks)

Question 2 (CLO1,3):

The budgeting process starts with generating ideas, which might consider past performance, studying the current and future outlook of the economy, and considering resources and the affordability of the business.

Based on the above statement, critically evaluate the budgeting process in assisting businesses in preparing a good financial budget.

(25 Marks)

Question 3 (CLO1,2,3):

Fixed and variable costs are the two common costs in any business. As the founder of a Startup company in Malaysia, critically weigh the impact of having high fixed costs in the business.

Provide examples of the fixed and variable costs for the startup business.

(25 Marks)

Question 4 (CLO1,3):

Job costing is used to manufacture unique products, while process costing is used to manufacture identical and homogeneous products.

As the founder of a fine-dining restaurant, which type of costing is more preferred? Critically evaluate the impact of different costing during business turbulent periods, such as COVID-19.

Hint: The answer is acceptable based on the arguments and explanations

(25 Marks)

(Total: 100 Marks)

**End of Questions**