Question
are these answers correct Class, The industry interesting me is manufacturing. I will continue with last week's discussion of the Custom Manufacturing of guitars for
are these answers correct
Class,
The industry interesting me is manufacturing. I will continue with last week's discussion of the Custom Manufacturing of guitars for continuity.
Identify at least two primary activities the Company must perform to provide its products or services. Be very specific in your description of each activity you decide to identify. Two activities focus on are design modification and craftsmanship. The design modification consists of various types of wood, strings, polish, and sandpapercraftsmanship ties directly to direct labor hours. The type of wood is foundational to the product and often has the most significant impact on the finished product price of the guitar. The types of wood are characterized by classic, exotics, and modern alternatives. The direct labor of craftsmanship revolves around customizing the guitar by body type and style of music an artist chooses. Other factors of craftsmanship are the finishing touches a customer may want to have so that a custom guitar uniquely represents the artistic style and personality. Although body shape may require additional time, the most time-consuming effort will focus on the individual finishing touches that will require attention to detail and focus on symmetry.
Identify at least two indirect or overhead costs the Company incurs in connection with that product or service internally. Custom guitars will absorb two indirect activity costs: machine maintenance, heating, and lighting. Essential to many artistic ventures is a condition conducive to ensuring the manufacturer can adequately see the work completed and climate conditions to reduce variables that could affect the wood by warping and to prevent excessive sweating or shivering. In addition, proper illumination is vital to maintaining replicable quality throughout the workday.
Identify in detail an activity base for allocating overhead costs for each of the two primary activities you have described. Justify your chosen activity base by explaining the base in sufficient detail, including any alternatives you can think of for allocating overhead and why one activity base may be preferable or most representative of how the overhead should be allocated. Craftsmanship is a direct labor cost associated with overhead costs. If a request is highly stylistically individualized, it could require up to twice the number of labor hours as the baseline Custom Guitar models. The essential Custom Guitar may cost 40 hours of direct labor and 80 plus hours depending on the level of materials and details requested. Custom Guitar offers a variety of design modifications but primarily small, medium, and large design modifications. Direct labor would be preferable to represent how the overhead should be allocated. Machine hours could also work; however, due to the various levels of customization, it might provide an inconsistently reliable base for allocating overhead costs.
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