An organisation’s method of allocating electricity costs

Project 1
Task 1
Investigate and report (5 pages) on an organisation’s method of allocating electricity costs. You can use any organisation with which you are familiar.
Consider the following:
1. Does the organisation allocate the total cost of electricity?
2. If so, what is the basis for the allocation of the total cost of electricity incurred for a period?
3. Calculate the percentage and cost of the total cost for each allocation.
Complete a report that you could provide to management about your findings and include within it an executive summary. Make recommendations to management about the appropriateness of the methods of allocating costs and provide reasons for your conclusions within the report.
Task 2
Report (5 pages) on the different types of budgets that provide management accounting information that might be used by organisations.
Prepare a list under the headings:
Title of report/ budget.
1. Department/ area to which the budget is applicable.
2. Primary function of the budget.
3. Supported by data from which departments/ area.
4. Users including those outside of management.
Identify and collect 10 samples of reports and budgets. Make a list of these reports/ budgets, their primary function and the person or department for whom they are prepared.

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