Professional Level

Paper F5
Performance Management
LECTURER RESOURCE PACK

KA PL AN PU B LI S HI NG

Lecturers who have adopted and purchased Kaplan Publishing Study Text may photocopy all or part of this
resource pack for no fee. They may photocopy copies of each title equal in number to the number of Study
Text of that title purchased.
The text in this material and any others made available by any Kaplan Group company does not amount to
advice on a particular matter and should not be taken as such. No reliance should be placed on the content
as the basis for any investment or other decision or in connection with any advice given to third parties.
Please consult your appropriate professional adviser as necessary. Kaplan Publishing Limited and all other
Kaplan group companies expressly disclaim all liability to any person in respect of any losses or other
claims, whether direct, indirect, incidental, consequential or otherwise arising in relation to the use of such
materials.
All rights reserved. No part of this examination may be reproduced or transmitted in any form or by any
means, electronic or mechanical, including photocopying, recording, or by any information storage and
retrieval system, without prior permission from Kaplan Publishing.
We are grateful to the Association of Chartered Certified Accountants, the Chartered Institute of
Management Accountants and the Institute of Chartered Accountants in England and Wales for permission
to reproduce past examination questions. The answers have been prepared by Kaplan Publishing.
Kaplan Financial Limited, 2012

KA PL AN PU B LI S HI NG

ii

INDEX TO QUESTIONS AND ANSWERS

Questions
page

Answers
page

Specialist cost and management accounting techniques

1
2
3
4
5
6
7
8

Management accounting
A College
Admer
QP plc
MN Ltd
BML
ABC plc
Key factors and throughput accounting

2
3
5
7
9
11
12
14

48
49
52
56
58
60
64
67

16
17
18
19
20
22

70
72
76
78
81
85

23
24
26
27
28
29

87
89
93
96
99
102

30
31
32
34
35
36

104
106
109
112
115
119

38
40
41
42
43
44

122
124
127
130
133
135

45

139

Decision making techniques

9
10
11
12
13
14

JB Ltd
Exe and Wye
Plastic tools
BIL Motor Components plc
MOV Company
Private Hospital

Budgeting
15
16
17
18
19
20

Accounting type control information for management

Sychwedd plc
Budget Compilation
Acred Limited
Accounting systems
Budgetary planning

Standard costing and variances

21
22
23
24
25
26

Q Ltd
Hairdressing
Food Manufacture
Mermus plc
Ash plc
Linsil

Performance measurement
27
28
29
30
31
32

Carr Ltd
Spring plc
Divisions A and B
Not for profit sector
Performance management
Windermere

Performance information systems

33

Sources of information

KA PL AN PU B LI S HI NG

i ii

Formulae sheet
Learning curve
Y = axb
Where y = cumulative average time per unit to produce x units
a = the time taken for the first unit of output
x = the cumulative number of units produced
b = the index of learning (log LR/log 2)
LR = the learning rate as a decimal

Demand curve
P = a bQ
b = change in price / change in quantity
a = price when Q=0
MR = a 2bQ

KA PL AN PU B LI S HI NG

iv