Answered step by step
Verified Expert Solution
Question
1 Approved Answer
PLEASE HELPP!! KaZoom Cola produces a lemon-lime soda. The production process starts with workers mixing the lemon syrup and lime flavors in a secret recipe.
PLEASE HELPP!!
KaZoom Cola produces a lemon-lime soda. The production process starts with workers mixing the lemon syrup and lime flavors in a secret recipe. The company enhances the combined syrup with caffeine. Finally, the company dilutes the mixture with carbonated water. KaZoom Cola incurs the following costs (in thousands): (Click the icon to view the costs.) Read the Requirements 1,2 and 3. Classify each of these costs according to its category in the value chain and further break down production costs into three subcategories: Direct Materials (DM), Direct Labor (DL), or Manufacturing Overhead (MOH). Compute the total costs for each value chain category. (If an input field is not used in the table, leave the input field empty; do not enter a zero.) Requirements 1. Classify each of the listed costs according to its category in the value chain (R\&D, Design, Production, Marketing, Distribution, or Customer Service.) 2. Further break down production costs into three subcategories: Direct Materials (DM), Direct Labor (DL), or Manufacturing Overhead (MOH). 3. Compute the total costs for each value chain category. 4. How much are the total product costs? 5. Suppose the managers of the R\&D and design functions receive year-end bonus based on meeting their unit's target cost reductions. What are they likely to do? How might this affect costs incurred in other elements of the value chain? Data table Requirement 4. How much are the total product costs? Determine the formula, then calculate the total product costs. Requirement 5. Suppose the managers of the R\&D and design functions receive year-end bonuses based on meeting their unit's target cost reductions. What are they likely to do? How might 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. Select the answer that shows how cutting costs might affect other elements of the value chain. A. If the recipe is not adjusted to consumer tastes, more marketing may be required and/or sales may decline. B. If the recipe is not designed so the soda is easy to produce, or if the production process is not well laid-out, production costs will be higher than they need to be. C. If cutting R\&D and Design costs leads to lower quality soda, customer service costs such as returns may also increase. D. All of the above Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started