Destin Brass

Kyle Birrell MBA 6120 Destin Brass Products Co. 1. first principle courting| | make ups| Valves| Pumps| period Controllers| Cost Driver| units| | 7500| 12500| 4000| | Material Cost| | 16.00| 20.00| 22.00| Material| consume patience| | 4.00| 8.00| 6.40| Labor| Set-up Labor| | 0.02| 0.05| 0.48| Labor| Receiving| 20000| 0.08| 0.30| 3.90| alphabet| discourse| 200000| 0.80| 3.04| 39.00| alphabet| Machine Depreciation| 270000| 12.60| 12.53| 4.73| Machine| Engineering| hundred thousand| 2.67| 2.40| 12.50| rudiment| Packing/Shipping| 60000| 0.24| 1.10| 10.95| ABC| Maintenance| 30000| 1.40| 1.39| 0.53| ABC| | | | | | | | building block Cost| 37.81| 48.82| 100.49| | 2. beat Unit Cost traditionalistic| $ 37.56 | $ 63.12 | $ 56.50 | Standard Unit Cost Trad Rev| $ 49.00 | $ 58.95 | $ 47.96 | Standard Unit Cost ABC| $ 37.81 | $ 48.82 | $ 100.49 | | | | | at that place are perceptibl e rests in separately of the costing methods. Each of the traditional methods utensil a iodin cost driver to estimate and portion out the overhead to separately product.

The difference between the first and the revise traditional estimates comes from utilize a opposite cost driver for severally method. The ABC method can use triple cost drivers since diametrical costs can be determined by different things. 3. By seeing the differences in each of the methods above, the lodges management would have to buy in on which method they impart move forward with. I would recommend they use the ABC me thod. By using this method, their booty ! margin leave alone change for two of the tether products, namely the pumps and flow controllers. The will be making a much higher profit margin on the pumps, hardly will need to do something to reduce costs on the flow controllers in ordinance to make money. There biggest write down is the handling cost for the controllers. 4. There should be no difference in the net income of the company as the...If you want to spend a penny a full essay, rewrite it on our website: BestEssayCheap.com

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