ADMS 4900 Lecture Notes - Lecture 12: Pizza Hut, Avon Products, Mozzarella
Document Summary
Exercise 2-11 (15 minutes: the costs of turn signal. Motors plant : salary of production manager at blackberry , salesperson"s commissions at. Avon products : insurance on one of. Bombardier"s factory buildings : the costs of shipping brass. X: depreciation on the bookshelves at reston. Bookstore : the costs of x-ray film at the. Toronto general"s radio- logy lab : the cost of leasing a toll-free telephone number at. Product cheese used at a pizza hut outlet X: the depreciation on the playground equipment at a. Mcdonald"s outlet : the cost of the mozzarella. Problem 3-15 (45 minutes: maintenance cost at the 140,000 machine-hour level of activity can be isolated as follows: *,000 80,000 mhs = . 30 per mh: high-low analysis of maintenance cost: Note: in this problem the high level of activity (140,000 hours) does not correspond to the highest level of total overhead costs, which occurs in november. Total maintenance cost at the low activity level ,400.