Product cost is the cost of direct labor‚ direct materials‚ and manufacturing overhead that are consumed to create a product. Product cost can also be considered the cost of the labor required to deliver a service to a customer. Direct Material Cost Definition: Direct material cost is the cost of materials used to manufacture a product or provide a service. Direct Labor Definition: Direct labor is production or services labor that is assigned to a specific product‚ cost center‚ or work order
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QUESTION 1 In a BCG Matrix‚ all divisions are called question marks‚ stars‚ cash cows or dogs. Define each of these terms. Question Marks division is Quadrant I have a low relative market share position‚ yet they compete in a high-growth industry. Generally these firms’ cash needs are high and their cash generation is low. These businesses are called question marks because the organization must decide whether to strengthen them by pursuing an intensive strategy (market penetration‚ market development
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CHANAKYA NITI CHAPTER ONE TO TEN Thursday‚ May 31‚ 2007 CHANAKYA NITI CHAPTER ONE ENGLISH RENDERING OF SLOKAS CHAPTER ONE 1 I bow my head to almighty Vishnu‚ the lord of all worlds‚ before venturing to put forward the essence of knowledge on politics‚ extracted from several books and scriptures‚ for the general benefit of society. 2 The careful study of politics teaches one to discern what is wrong and what is right. And imparts wisdom to choose the path that leads to success and good
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1. How might current trends in the family life cycle and changes in the decision-making process influence the Turkish coffee market? Coffee was bought to Istanbul in 1555 by two Syrian traders from Yemen and start from that‚ Turkish coffee remained an important routine in Turkish households. Although a choice is limited to a few brands‚ Turkish coffee still becomes the main choice. However‚ the times has change while consumer in Turkish prefer to include flavored in the coffee and decaffeinated
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TYPES OF COSTS Introduction :-Production is the result of services rendered by various factors of production.The producer or firm has to make payments for this factor services. From the point of view of the factor inputs it is called ‘factor income’ while for the firm it is ‘factor payment’‚ or cost of inputs.Generally‚ the term cost of production refers to the ‘money expenses’ incurredin the production of a commodity. But money expenses are not the only expensesincurred on the production
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Classify each cost listed below as either a product cost or a period cost for purposes of preparing the financial statements for the bank. 1. The cost of the memory chips used in radar set. * Product Cost 2. Factory Heating Cost * Period Cost 3. Factory Equipment maintenance costs. * Period Cost 4. Training costs for new administrative employees * Period Costs 5. The cost of the solder that is used in assembling the radar sets. * Product costs 6. The Travel
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INTERNATIONAL B-SCHOOL SUBJECT: FINANCIAL & COST ACCOUNTING Total Marks: 80 N.B.: 1)Allquestionsarecompulsory 2) All questions carry equal marks. Q1) ABC Ltd. Produces room coolers. The company is considering whether it should continue to manufacture air circulating fans itself or purchase them from outside. Its annual requirement is 25000 units. An outsider vendor is prepared to supply fans for Rs 285 each. In addition‚ ABC Ltd will have to incur costs of Rs 1.50 per unit for freight and Rs 10‚000
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10 CASE Nucor Corporation: Competing Against Low-Cost Steel Imports ASSIGNMENT QUESTIONS 1. What are the primary competitive forces impacting U.S. steel producers in general and the producers like Nucor that make new steel products via recycling scrap steel in particular? Please do a five-forces analysis to support your answer. 2. What driving forces do you see at work in this industry? Are they likely to impact the industry’s competitive structure favorably or unfavorably? 3. How attractive
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GLOBAL BUSINESS MANAGEMENT Chapters review Chapter 5 Free trade: government not try to influence through quotas or duties what can be bought from/sold to other country Benefits: -Smith‚ Ricardo and heckscher Ohlin predict that the consequences of fee trade include both static economics gain (because free trade supports a higher level of domestic consumption and more efficient utilization of resources) and dynamic economic gains (because free trade stimulates economic growth and the creation of
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Production and Cost Analysis in the Short-Run Chapter 5 Production Function 2 A production function describes the relationship between a flow of inputs and the resulting flow of outputs in a production process during a given period of time. Q = f(L‚ K‚ M‚ …) where Q = quantity of output L = quantity of labor input K = quantity of capital input M = quantity of materials input Copyright © 2010 Pearson Education‚ Inc. Publishing as Prentice Hall Fixed and Variable Inputs A fixed input
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