According to the Sectional Titles Act 95 of 1986, levies are assigned according to the size of a unit, in other words a unit’s participation quota. These levies are used to finance a complex’s insurance, common property electricity and water, lift maintenance, audit fees, management agent fees, salaries and wages, security, swimming pool expenses and general building maintenance. According to the Traditional Costing System, indirect costs are allocated based on a single cost actual expenses over a year are dissected. A regression and correlation analysis was done on the relationship between costs, participation quota and levies. The contribution of the study is that it empirically determines the behaviour of cost items in order to allocate indirect costs more accurately. Consequently, this will result in improved reasonability and will eliminate the cross-subsidisation of units. The objectives were reached as follows: The first objective was reached when it was proved through empirical studies that the Sectional Title is not fair when it states that the allocation of levies must be according to floor space. The second objective was reached when both participation quota and units per complex were identified as cost drivers for each cost item. The third objective was reached by allocating the levy on a 50 percent base according to units and a 50 percent base according to the total area. This could be refined by each complex according to the unique need of the complex. driver. However, various indirect costs are not necessarily subject to this single cost driver. In practice, it has been proven that high volume products are proportionally taxed with indirect costs when compared to low volume products. In many complexes, owners with larger units are of the opinion that their larger units are subsidising those owners with smaller units. In contrast to the traditional costing system, activity-based costing recognises that indirect costs can also be assigned by use of multiple cost drivers. Since these multiple cost drivers – which affect the way costs are assigned – can be identified, indirect costs are assigned more accurately. This study investigates the current method of cost allocation, whereby costs are assigned via participation quota, and makes suggestions on how these costs can be assigned on a more accurate and fair basis in practice. The goal of this study is to challenge the reasonability of the Sectional Titles Act. The objectives of the dissertation are firstly, to determine the cost behaviour of various cost items and whether the participation quota is a fair cost driver for determining the levies that are to be paid; secondly, it investigates alternative cost drivers that will be more applicable to certain cost items; thirdly, to suggest a cost formula to replace the current cost method, that being the allocation of indirect costs via participation quota. Empirical methods have been used in the research. The empirical research was performed using data obtained from ANGOR Property Specialists (Pty) Ltd’s database. A sample of 113 complexes was extracted from the database of which the / Thesis (M.Com. (Management Accountancy))--North-West University, Potchefstroom Campus, 2011

According to the Sectional Titles Act 95 of 1986, levies are assigned according to the size of a unit, in other words a unit’s participation quota. These levies are used to finance a complex’s insurance, common property electricity and water, lift maintenance, audit fees, management agent fees, salaries and wages, security, swimming pool expenses and general building maintenance. According to the Traditional Costing System, indirect costs are allocated based on a single cost actual expenses over a year are dissected. A regression and correlation analysis was done on the relationship between costs, participation quota and levies. The contribution of the study is that it empirically determines the behaviour of cost items in order to allocate indirect costs more accurately. Consequently, this will result in improved reasonability and will eliminate the cross-subsidisation of units. The objectives were reached as follows: The first objective was reached when it was proved through empirical studies that the Sectional Title is not fair when it states that the allocation of levies must be according to floor space. The second objective was reached when both participation quota and units per complex were identified as cost drivers for each cost item. The third objective was reached by allocating the levy on a 50 percent base according to units and a 50 percent base according to the total area. This could be refined by each complex according to the unique need of the complex. driver. However, various indirect costs are not necessarily subject to this single cost driver. In practice, it has been proven that high volume products are proportionally taxed with indirect costs when compared to low volume products. In many complexes, owners with larger units are of the opinion that their larger units are subsidising those owners with smaller units. In contrast to the traditional costing system, activity-based costing recognises that indirect costs can also be assigned by use of multiple cost drivers. Since these multiple cost drivers – which affect the way costs are assigned – can be identified, indirect costs are assigned more accurately. This study investigates the current method of cost allocation, whereby costs are assigned via participation quota, and makes suggestions on how these costs can be assigned on a more accurate and fair basis in practice. The goal of this study is to challenge the reasonability of the Sectional Titles Act. The objectives of the dissertation are firstly, to determine the cost behaviour of various cost items and whether the participation quota is a fair cost driver for determining the levies that are to be paid; secondly, it investigates alternative cost drivers that will be more applicable to certain cost items; thirdly, to suggest a cost formula to replace the current cost method, that being the allocation of indirect costs via participation quota. Empirical methods have been used in the research. The empirical research was performed using data obtained from ANGOR Property Specialists (Pty) Ltd’s database. A sample of 113 complexes was extracted from the database of which the / Thesis (M.Com. (Management Accountancy))--North-West University, Potchefstroom Campus, 2011

This dissertation presents a pumping system operation efficiency improvement solution that includes optimal selection and control of the water pump. This solution is formulated based on the performance, operation, equipment and technology (POET) framework. The focus is on the minimization of the operational energy cost. This efficiency improvement solution is divided into three stages in accordance with the operation category of the POET framework. The first stage is to select the optimal pump capacity by considering both energy efficiency and load shifting requirements. The second stage is to develop a flexible pump controlling strategy that combines and balances the contributions from energy efficiency and load shifting. The last stage is to improve the robustness of the control system using the closed-loop model predictive control approach. An optimal pump capacity selection model is formulated. In this model, additional capacity requirements for load shifting are considered along with the traditional energy efficiency requirements. By balancing the contributions from load shifting and energy efficiency, the operational energy cost can be reduced by up to 37%. An optimal pump control is formulated. The objective of this control model is to balance the energy efficiency and load shifting contributions during the operation and minimize the operational energy cost. This control model is tested under different operational conditions and it is compared to other existing control strategies. The simulation and comparison results show that the proposed control strategy achieves the lowest operational energy cost in comparison to other strategies. This optimal pump control model is further modified into the closed-loop model predictive control format to increase the robustness of the control system under operation uncertainties. A mixed integer particle swarm optimization algorithms is employed to solve the optimization problems in this research. AFRIKAANS : Hierdie verhandeling bied ’n verbeterde oplossing vir die operasionele doeltreffendheid van pompstelsels wat die optimale keuse en beheer van die waterpomp insluit. Hierdie oplossing is geformuleer op ’n raamwerk wat werkverrigting, bedryf, toerusting en tegnologie in ag neem. Die oplossing fokus op die vermindering van bedryfsenergie koste. Hierdie oplossing is onderverdeel in drie fases soos bepaal deur die bedryfskategorie gegrond op die bogenoemde raamwerk: Die eerste fase is die keuse van die optimale pompkapasiteit deur beide energiedoeltreffendheid en lasverskuiwing in ag te neem. Die tweede fase is om ’n buigbare pompbeheer strategie te ontwikkel wat ’n goeie balans handhaaf tussen die onderskeie bydraes van energiedoeltreffendheid en lasverskuiwing. Die derde fase is om die stabiliteit van die beheerstelsel te verbeter deur gebruik te maak van ’n geslote-lus beheermodel met voorspellende beheer (Predictive Control). ’n Model vir die keuse van optimale pompkapasiteit is geformuleer. In hierdie model word vereistes vir addisionele pompkapasiteit vir lasverskuiwing sowel as vereistes in terme tradisionele energiedoeltreffendheid in ag geneem. Deur die regte verhouding tussen die onderskeie bydraes van energiedoeltreffendheid en lasverskuiwing te vind kan ’n besparing van tot 37% op die energiekoste verkry word. Optimale pompbeheer is geformuleer. Die doel van die beheermodel is om die bydraes van energiedoeltreffendheid en lasverskuiwing te balanseer en om die bedryfsenergie koste te minimiseer. Hierdie beheermodel is getoets onder verskillende bedryfstoestande en dit is vergelyk met ander bestaande beheerstrategiee. Die simulasie en vergelyking van resultate toon dat die voorgestelde beheerstrategie die laagste bedryfsenergie koste behaal in vergelyking met ander strategiee. Hierdie optimale pomp beheermodel is verder aangepas in ’n geslote beheermodel met voorspellende beheerformaat om die stabiliteit van die beheerstelsel te verbeter onder onsekere bedryfstoestande. ’n Gemende heelgetal partikel swerm optimisasie (Mixed interger particle swarm optimization) algoritme is gebruik om die optimiseringsprobleme op te los tydens hierdie navorsingsoefening. / Dissertation (MEng)--University of Pretoria, 2011. / Electrical, Electronic and Computer Engineering / Unrestricted