0
0
0

0
0
0

0
0
0

0
0
0

0
0
0

0
0
0

0
0

0
0

0
0

Helvetica,Bold” 2
0
0

0

0

0
0
0

0
0
0

0
0
0

0
0
0

0
0
0

0
0
0

0
0
0

0

0
0
0

0

Arial,Bold” 2
Cyber Web Services
Hire a New
Designer
for the
Work to
Ky To
Outsourcing
Cost to buy graphic design work
Cost to do graphic design work in-house
Direct professional labor
Service overhead
Opportunity costs
†
**
per design hour
design hours.
Difference
Incremental Analysis
in Favor of
Totals
Company
Outsourcing Decision
Outsource
*
Total costs
×
Chapter 10, E 4.
Management Analysis:
Please do not input data in these cells
Please input data only in these cells
Less projected unit cost
Target unit cost
Production decision calculations:
Production decision discussed
3.
=
+
Projected total unit cost
)
x
(
Marketing
Delivery
Production and assembly
Engineering
* )
Materials handling
Activity-based costs
hours
Assembly labor
Manufacturing labor
Purchased parts cost
Direct materials cost
Projected unit cost of AutoDrill computed
2.
¸
Target cost =
Target cost computed
1.
Chapter 12, E 13
Chapter 10:
Page 418 – Exercise 4: Outsourcing Decision
Chapter 12:
Page 502 – Exercise 13: Target Costing and Pricing
Book:
Ebook: WWW. Coursesmart.com
Log in: lizabailey1212@gmail.com
Password:juicy2012

*
**
†