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Suppose Auto Shack incurred the following costs at its Newark, New Jersey, store: (Click the icon to view the costs.) Read the requirements. Requirements 1
Suppose Auto Shack incurred the following costs at its Newark, New Jersey, store: (Click the icon to view the costs.) Read the requirements. Requirements 1 and 2. Classify each of these costs according to its place in the value chain, then calculate the total cost 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.) Newspaper advertisements Payment to consultant for advice on location of new store Purchases of merchandise Freight-in Auto Shack Value Chain Cost Classification Customer R and D Design Purchases Marketing Distribution Service Requirements 1. Classify each cost as to which category of the value chain it belongs (R&D, Design, Purchases, Marketing, Distribution, or Customer Service). 2. Compute the total costs for each value chain category. 3. What are total product costs? 4. What are total period costs? Print Done Newspaper advertisements $ 5,400 Payment to consultant for advice on location of new store ..... $ $ 2,000 Purchases of merchandise $ 31,000 Freight-in $ 3,000 Salespeople's salaries $ 4,700 Depreciation expense on delivery trucks $ 1,400 Research on whether store should sell satellite radio service $ 150 Customer Complaint Department $ 450 Rearranging store layout $ 1,000
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