Management Accounting

CLUK is a reason of sports feeding quaffs and has couple oppositions, D1 and D2. Opposition D1 manufactures recyclable tractile containers which it sells to twain Opposition D2 and so exterior customers. Opposition D2 makes haughty protein quaffs which it sells to the hawk traffic in the containers that it alienations from Opposition D1.
You keep been supposing with the subjoined budget knowledge ce Opposition D1:

Selling   charge to hawk customers per 1,000 containers

Mutable   costs per container

Unroving Consumes   per annum

2.4 million
Catch Possessions

4.0 million
Formation   capacity

40,000,000 containers
Hawk   claim ce containers

38,000,000 containers
Claim ce   containers from Opposition D2

20,000,000 containers
You keep been supposing with the subjoined budget knowledge ce Opposition D2:

Selling per   container of protein quaff

Mutable   costs per quaff (beside container)

Consume per   container (from Opposition D1)

At remove charge
Unroving Consumes

Catch possessions

Sales   volume of protein quaffs in containers

Remove Pricing Policy
Opposition D1 is required to indemnify the claim of Opposition D2 precedently selling containers exteriorly. The remove charge ce a container is unmeasured consume plus 20%.
Exploit Management Targets
Party exploit is assessed on Return on Boarding (ROI) and Residual Income (RI). Oppositional managers are awarded a premium if they close the annual ROI target of 25%. CLUK has a consume of cardinal of 7%.
(a) Amount a three-page PowerPoint grant to condense the subjoined tasks:
(i) SLIDE 1
Using Excel, amount a use declaration ce each opposition detailing sales and consumes, separating exterior sales and inter-party removes. You are advised to amount this declaration in a Excel spreadsheet pristine and then observation this knowledge into the PowerPoint slide 
(ii) SLIDE 2
Using Excel, rate the ROI ce opposition D1 and opposition D2. Observation this knowledge into Slide 2 of the PowerPoint grant
(iii) SLIDE 3
Provide a brief observation on the oppositionalised use declarations and ROI results shown in slides 1 and 2
(b) The directors of CLUK are planning to enlarge the operations of the society and coincidently with the oppositional managers, keep agreed to alienation a fantastic muniment that would extension annual formation talents to 50,000,000 cans at Opposition D1.
The alienation of this muniment gain extension the catch possessions of Opposition D1 by $500,000. Assume that there is no impression on individual mutable consumes or unroving consumes resulting from this alienation. Inter-party removes gain be charged at occasion consume.
You are required to amount a communication to the directors critically discussing the issues and implications of the Remove Pricing Policy on this boarding and oppositional uses. You should prop your defense with correspondent dissection and revised use declarations (these should be interjacent as appendices to your communication). Your communication should be amountd in a Word muniment containing no further than 1,000 signification (+/- 10%).

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