COMM 294 Chapter Notes - Chapter 2: Income Statement, Finished Good, Earnings Before Interest And Taxes
Document Summary
Comm294 - chapter 2 - building blocks of ma. Merchandising: resell tangible products that are bought from suppliers (wholesalers/retailers) Manufacturing companies: use labor,plants and equipment to convert raw materials into new. Three inventory types ( nished goods is listed rst in reports as it is most liquid) Research and development: provides new or improved products or services or the processes for producing them. Design: detailed engineering of products and services and the process for producing them. Production or purchases: resources used to produce a product or service, or to purchase. Marketing: promotion and advertising of products or services. Customer service: support provided for customers after the sake. Cross functional teas need to work simultaneously. Helps control costs of value chain as a whole. Cost object is anything a manager expects a separate measurement of cost from. Individual units, different models, product divisions, geographic segments, departments. Direct cost = cost that can be easily traced to a cost object.
