University : Laureate International University UniLearnO is not sponsored or endorsed by this college or university.
Subject Code : ACCT2006
Country : Australia
Assessment Answer:

1. Explain the nature, importance and components of management accounting information in assisting management in undertaking planning, directing, controlling, performance measurement and decision-making.
2. Categorise various cost behaviours and examine different cost estimation and allocation techniques as well as demonstrating the need for a balance between financial and non-financial information in management accounting application.
3. Communicate effectively both orally and in writing to contribute to group performance for the analysis of real-world business settings in management accounting. Demonstrate an understanding of the organisational context and a tolerance for ambiguity when applying knowledge and problem-solving skills to specific cases. 

Ethics Scenario: Gibson Insurance Company 
On pages 2-3 under Cost Allocation, it is stated that Rebecca Hampton, the controller for Gibson Insurance Company, reviewed the corporate general ledger that contains information about the cost line items used to record specific cost types. She decided to divide nearly 50 different corporate cost accounts into four categories. These are 1) Policy acquisition 2) Customer service 3) Sales and marketing 4) Other corporate support 
Discuss the ethical implications on the management and workers of Gibson Insurance Company as a result of changes in cost allocations initiated by Rebecca Hampton.

 

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