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Fizz Cola produces a lemon-Ime sode. The production process starts with workers ming the man syrup and Il me flavors ha secret recipe. The company enhances the combined syrup with catene. Finally, the company clines the moune with carbonated water. Foz Cola Incurs the following costs in thousands Click the icon to view the costs.) Read the requirements. Requirements 1, 2 and 3. Classify each of these cusls according to its calegory in the value chain and further break duen pruuuction costs into three subcategories Direct Materals DM, Direct Labor DLI, or Manufacturing Overhead (MOH) Compute the local cost for each value in category. (If an input field is not used in the table, leave the input field empoy, do not enter a zero. a Fizz Cola Value Chain Cost Classification Production - X Direct Direct Manufacturing Customer Data table Cosi R&D Designs Materials Lavor Overhead Marketing Distribution Service Panjanitors' was Plant Janitors' wages S 1.200 Truck drivers' wage Delivery truck drivers' wages S 235 Payment for recipe S Payment for new recipe Depreciation on trucks 850 Depreciation on delivery trucks S 100 Per utilities Plant utilities S 800 Lime fewering Lime flavoring. S 1.080 Rearrange and you S Rearrangment of plant layout 1.900 Bottles S 1.210 Bottles...... Sat S 40 Salt... Sales commissions Sales commissions.... s Pcduction costs of 250 "cents of coupons Production costs of "cents-off store coupons for customers ..S 430 Lamer Sylp Lemon syrup........................................... 22.000 S Replace products with will Replacement of products with expired dates upon customer expired dates S 75 complaint................................... Depreciation on plant and Depreciation on plant and equipment...... S S 3.100 qulament Wooss of who Wages of workers who mix syrup. S 7,600 TID Sup Customer hotlina... S 170 Customer haline Freight-in on materiale S 1.300 Freight-in on materials Totalcoats Print Done Click the icon to view the costs) Read the requirements, Rearrange alant layout Bolles Salt Sales commissions Production costs of "cents of coupons Lemer syrup Replace products with sapired dates Depreciation on pant and equiament Wages of workers who Tie syrup Customer haline Freighlin on rails Total costs Requirement 4. Fon much are the total product ? Determine the formula, then calculate the total produce costs Total product could Requirement 5. Suppose the managers of the R&D and Cecign furctions receive year-end bonuses based or meeting their urit's largel cost reductions. What are they likely to do? Hon right this affect costs incurred in other elements of the value chain? The managers of R&D and Design are likely to This can costs of later value chain elements, - X Requirements Select the answer that shows how cutting costs might affect other elements of the value chain O A fouilling R&D and Design colleads to lower quality soua, cuslomer service costs audi a reusiy also increase B. the recipe is not adjusted to consumer tastes, mare marketing may be required andior sales may decine. C. the recipe is not designed so the soda is casy to produce or if the production process is not wel laid out, production costs wil be higher than they need to be. D. All of the above 1. Clasaityaach of the listed coats according to his category in the value chain (R&D, Design Production, Marketing, Distrition, or Customer Service) 2. Further break down production costs into three subcategories: Direct Materials (DM). Direct Labor DLA or Manufacturing Overhead (MOH), 3. Compute the total cos for each value chain category 4. How much are the total product costs? 5. Suppose the managers of the RAD and design funcions receive year-end bonuses based on meeting ther units target cost reductions. What are they likely to do? How might this affect costs incurred in other elements of the value chain? Print Done