CHARLES STURT UNIVERSITY School of Accounting and Finance ACC310 Management Accounting 2 201360 Assessment Item 2 Rationale: You have finally completed your accounting degree and secured a job with a catering business called Boutique Catering and have been asked to report to management on the issues identified in the questions below. This business has experienced significant growth over a short period of time and desperately requires someone to help manage the rapid growth of the business. Boutique Catering’s core business is providing meals for 3 conference rooms which are owned by the company. The business operates from Tuesday to Friday. The general manager who is also the owner wants you to review the business with ‘fresh eyes’ to see where it can improve and also seek some guidance about business opportunities that might be available As such you are required to complete all parts of the questions showing all workings and providing a clear explanation of the process and output. Where appropriate use a well constructed spreadsheet, compatible with Excel, to answer the questions. The spreadsheet must be submitted with your written report. Your spreadsheet will have a separate worksheet for each question. For each question there will be a data entry section followed by a model or results section. Where appropriate, formula should be utilised. Your response is to be in a report format and it is compulsory for you to lodge both the report (word file) and your calculations (spreadsheet excel compatible). Question 1 (15 marks) In order to assist the manager you are compiling a resource which will define the various management accounting terms used in the process of strategic analysis. Provide an explanation of the following terms, with examples specifically relating to Boutique Catering, to include in a resource file which incorporates a reason why each concept is relevant or not relevant to decision-making: Satisficing model Simulation Opportunity Cost Sunk cost…