Destin Brass

Kyle Birrell MBA 6120 Destin Brass Products Co. 1. first principle courting| | make ups| Valves| Pumps| lean Controllers| Cost Driver| units| | 7500| 12500| 4000| | Material Cost| | 16.00| 20.00| 22.00| Material| lead 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| discussion| 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| first rudiment| Packing/Shipping| 60000| 0.24| 1.10| 10.95| ABC| Maintenance| 30000| 1.40| 1.39| 0.53| ABC| | | | | | | | social unit Cost| 37.81| 48.82| 100.49| | 2. beat Unit Cost traditional| $ 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 evident diversit ys in separately of the costing methods. Each of the traditional methods use a iodin cost number one wood to estimate and share the overhead to separately product.

The difference between the first and the revise traditional estimates comes from utilize a opposite cost driver for to each one method. The ABC method can use triple cost drivers since diametrical costs can be driven 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 method. B y using this method, their chou margin le! ave alone change for two of the terce products, namely the pumps and flow controllers. The will be making a much higher profit margin on the pumps, except will need to do something to reduce costs on the flow controllers in ordinance to make money. There biggest depreciate 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 target a full essay, rewrite it on our website: BestEssayCheap.com

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