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question 1)

Grey Corp makes a special-purpose D4H machine used in the textile industry. Grey has designed the D4H machine in 2018 to be distinct from its competitors. It has been generally regarded as a superior machine. Grey presents the following data or the years 2018 and 2019.

2018 2019

1. Units of D4H produced and sold 200 210
2. Selling Price $40,000 $42,000
3. Direct Materials(Kilograms) 300,000 310,000
4. DM cost per Kilogram $8.00 $8.50
5. Manufacturing Capacity(untis of D4H) 250 250
6. Total Conversion Cost $2,000,000 $2,025,000
7. Conversion cost per unit of capacity $8,000 $8,100
8. Selling and Customer service Capacity 100 customers 95 customers
9. Total Selling and Customer service costs $1,000,000 $940,500
10. Selling and Customer Service cost per customer $10,000 $9,900
11. Design Staff 12 12
12. Total Design Cost $1,200,000 $1,212,000
13. Design Cost Per Employee $100,000 $101,000

Grey Produces no defective machines, but it wants to reduce direct materials usage per D4H machine in 2019. Manufacturing conversion cost each year depend on production capacity defined in terms of D4H units that can be produced, not the actual units of D4H produced. Selling and Customer service costs depend on the number of customers that Grey can support, not that actual number of customers Grey serves. grey has 75 customers in 2018 and 80 customers in 2018. At the start of each year, management uses its discretion to determine the number of design staff for the year. The design staff and costs have no direct relationship with the quantity of D4H produced or the number of customers to whom D4H is sold.

Required.

A) is Grey's strategy one of product differentiation or cost leadership? Explain briefly?

B) Describe briefly key elements that you would include in Greys BSC(balance scorecard) and the reasons for doing so?

Hello, i have seen your comment and reviewed the question and there is no other information provided.

Thanks,

Hi, the text book is "Cost Accounting Managerial Emphasis 8th Edition" Problem 13-18.

Hi there,

what else would you need? i have included everything from the question.