MAC3701
Assignment 2 Semester 2 2025
Unique Number:
Due Date: 11 September 2025
PART A
(A-a) Critical Evaluation of Income Statement
Item Given Correct Agree/Disagree Reason
Amount Amount
Sales
Gearboxes R45,000,000 R45,000,000 Agree 10,000 × R4,500 =
Couplings R38,400,000 R38,400,000 Agree 32,000 × R1,200 =
Direct
Material
Gearboxes R12,708,000 R12,708,000 Agree 12,000 units × R1,059 =
R12,708,000 Terms of use
By making use of this document you agree to:
Use this document as a guide for learning, comparison and reference purpose,
Terms of use
Couplings R9,252,000
Not to duplicate, reproduce
R9,252,000 and/or misrepresent
Agree the contents
36,000of this
unitsdocument
× R257 =asR9,252,000
your own work,
By making use of this document you agree to:
Use this document
Fully accept the consequences
solely as a guide forshould you plagiarise
learning, reference, or and
misuse this document.
comparison purposes,
Ensure originality of your own work, and fully accept the consequences should you plagiarise or misuse this document.
Comply with all relevant standards, guidelines, regulations, and legislation governing academic and written work.
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is" without any express or
implied representations or warranties. The author accepts no responsibility or liability for any actions taken based on the
information contained within this document. This document is intended solely for comparison, research, and reference purposes.
Reproduction, resale, or transmission of any part of this document, in any form or by any means, is strictly prohibited.
, +27 67 171 1739
PART A
(A-a) Critical Evaluation of Income Statement
Item Given Correct Agree/Disagree Reason
Amount Amount
Sales
Gearboxes R45,000,000 R45,000,000 Agree 10,000 × R4,500 =
Couplings R38,400,000 R38,400,000 Agree 32,000 × R1,200 =
Direct
Material
Gearboxes R12,708,000 R12,708,000 Agree 12,000 units × R1,059 =
R12,708,000
Couplings R9,252,000 R9,252,000 Agree 36,000 units × R257 =
R9,252,000
Standard Cost Verification
Gearbox Standard Cost:
Material Quantity Rate Cost
Steel 24 kg R15/kg R360
Aluminium 8 kg R44/kg R352
Bearings 4 R50 each R200
Lubricant 2L R44/L R88
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is"
without any express or implied representations or warranties. The author accepts no responsibility or
liability for any actions taken based on the information contained within this document. This document is
intended solely for comparison, research, and reference purposes. Reproduction, resale, or transmission
of any part of this document, in any form or by any means, is strictly prohibited.
, +27 67 171 1739
Sealing rings 12 rings R6/ring R72
TOTAL R1,072
Variance (Gearboxes): R1,072 – R1,059 = R13 unfavourable per unit
Coupling Standard Cost:
Material Quantity Rate Cost
Steel 6 kg R15/kg R90
Aluminium 2 kg R44/kg R88
Bearings 1 R50 R50
Lubricant 0.5 L R44/L R22
Sealing rings 2 rings R6/ring R12
Total R262
Variance: R262 – R257 = R5 unfavourable per unit
Other Items
Item Given Amount Correct Amount Status
Direct Labour R9,720,000 R9,720,000 Correct
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is"
without any express or implied representations or warranties. The author accepts no responsibility or
liability for any actions taken based on the information contained within this document. This document is
intended solely for comparison, research, and reference purposes. Reproduction, resale, or transmission
of any part of this document, in any form or by any means, is strictly prohibited.
Assignment 2 Semester 2 2025
Unique Number:
Due Date: 11 September 2025
PART A
(A-a) Critical Evaluation of Income Statement
Item Given Correct Agree/Disagree Reason
Amount Amount
Sales
Gearboxes R45,000,000 R45,000,000 Agree 10,000 × R4,500 =
Couplings R38,400,000 R38,400,000 Agree 32,000 × R1,200 =
Direct
Material
Gearboxes R12,708,000 R12,708,000 Agree 12,000 units × R1,059 =
R12,708,000 Terms of use
By making use of this document you agree to:
Use this document as a guide for learning, comparison and reference purpose,
Terms of use
Couplings R9,252,000
Not to duplicate, reproduce
R9,252,000 and/or misrepresent
Agree the contents
36,000of this
unitsdocument
× R257 =asR9,252,000
your own work,
By making use of this document you agree to:
Use this document
Fully accept the consequences
solely as a guide forshould you plagiarise
learning, reference, or and
misuse this document.
comparison purposes,
Ensure originality of your own work, and fully accept the consequences should you plagiarise or misuse this document.
Comply with all relevant standards, guidelines, regulations, and legislation governing academic and written work.
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is" without any express or
implied representations or warranties. The author accepts no responsibility or liability for any actions taken based on the
information contained within this document. This document is intended solely for comparison, research, and reference purposes.
Reproduction, resale, or transmission of any part of this document, in any form or by any means, is strictly prohibited.
, +27 67 171 1739
PART A
(A-a) Critical Evaluation of Income Statement
Item Given Correct Agree/Disagree Reason
Amount Amount
Sales
Gearboxes R45,000,000 R45,000,000 Agree 10,000 × R4,500 =
Couplings R38,400,000 R38,400,000 Agree 32,000 × R1,200 =
Direct
Material
Gearboxes R12,708,000 R12,708,000 Agree 12,000 units × R1,059 =
R12,708,000
Couplings R9,252,000 R9,252,000 Agree 36,000 units × R257 =
R9,252,000
Standard Cost Verification
Gearbox Standard Cost:
Material Quantity Rate Cost
Steel 24 kg R15/kg R360
Aluminium 8 kg R44/kg R352
Bearings 4 R50 each R200
Lubricant 2L R44/L R88
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is"
without any express or implied representations or warranties. The author accepts no responsibility or
liability for any actions taken based on the information contained within this document. This document is
intended solely for comparison, research, and reference purposes. Reproduction, resale, or transmission
of any part of this document, in any form or by any means, is strictly prohibited.
, +27 67 171 1739
Sealing rings 12 rings R6/ring R72
TOTAL R1,072
Variance (Gearboxes): R1,072 – R1,059 = R13 unfavourable per unit
Coupling Standard Cost:
Material Quantity Rate Cost
Steel 6 kg R15/kg R90
Aluminium 2 kg R44/kg R88
Bearings 1 R50 R50
Lubricant 0.5 L R44/L R22
Sealing rings 2 rings R6/ring R12
Total R262
Variance: R262 – R257 = R5 unfavourable per unit
Other Items
Item Given Amount Correct Amount Status
Direct Labour R9,720,000 R9,720,000 Correct
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is"
without any express or implied representations or warranties. The author accepts no responsibility or
liability for any actions taken based on the information contained within this document. This document is
intended solely for comparison, research, and reference purposes. Reproduction, resale, or transmission
of any part of this document, in any form or by any means, is strictly prohibited.
