Choose an item that you would like to manufacture. You do notactually need to manufacture something, but will proceed throughthe assignment as if you were planning on manufacturing the itemyou have selected. The product should require materials and laborand be something that you are familiar with in process from startto finish. The product must be useful and marketable. You canchoose something as simple as making chocolate chip cookies, a typeof craft, or something more complicated. Consider production as ifyou were making the product from beginning to end, and not as ifusing a kit.
Perform the following steps:
Choose a product to manufacture and describe the manufacturingprocess.
Forecast the variable cost per unit.
Forecast manufacturing costs and selling and administrativeexpenses as either variable or fixed.
Prepare a contribution margin income statement separating allvariable and fixed costs into their own categories.
Determine the breakeven point in units and dollars. Also,determine the number of units and dollars that need to be sold tomake a target profit of $5,000 a month.
Identify what types of trends you should be aware of in theindustry and who the primary competitors are.
Develop a balanced scorecard for a company that will sell yourproduct, indicating two financial, two internal business process,two customer, and two learning and growth key productive indicatorsthat will serve as the basis for your product strategy. Based onyour costing scenario and information gathered from items 1-6,develop viable targets for these key productive indicators. Name aninitiative the company can take to ensure the target is met.
Your final project should be in the form of a PowerPointpresentation that addresses each of these different areas. Steps#1-5 will involve numerical calculations and 6-7 should be put intothe form of a table in proper format and included as part of thepresentation. You should show any summary calculations in a tablewithin a slide. Your submission should be 7-8 slides and follow theWriting and APA Requirements
Choose an item that you would like to manufacture. You do notactually need to manufacture something, but will proceed throughthe assignment as if you were planning on manufacturing the itemyou have selected. The product should require materials and laborand be something that you are familiar with in process from startto finish. The product must be useful and marketable. You canchoose something as simple as making chocolate chip cookies, a typeof craft, or something more complicated. Consider production as ifyou were making the product from beginning to end, and not as ifusing a kit.
Perform the following steps:
Choose a product to manufacture and describe the manufacturingprocess.
Forecast the variable cost per unit.
Forecast manufacturing costs and selling and administrativeexpenses as either variable or fixed.
Prepare a contribution margin income statement separating allvariable and fixed costs into their own categories.
Determine the breakeven point in units and dollars. Also,determine the number of units and dollars that need to be sold tomake a target profit of $5,000 a month.
Identify what types of trends you should be aware of in theindustry and who the primary competitors are.
Develop a balanced scorecard for a company that will sell yourproduct, indicating two financial, two internal business process,two customer, and two learning and growth key productive indicatorsthat will serve as the basis for your product strategy. Based onyour costing scenario and information gathered from items 1-6,develop viable targets for these key productive indicators. Name aninitiative the company can take to ensure the target is met.
Your final project should be in the form of a PowerPointpresentation that addresses each of these different areas. Steps#1-5 will involve numerical calculations and 6-7 should be put intothe form of a table in proper format and included as part of thepresentation. You should show any summary calculations in a tablewithin a slide. Your submission should be 7-8 slides and follow theWriting and APA Requirements
