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Suppose the smartphone manufacturer Peach Electronics provides the following information for its costs last month (in millions): (Click the icon to view the costs.) Read
Suppose the smartphone manufacturer Peach Electronics provides the following information for its costs last month (in millions): (Click the icon to view the costs.) Read the requirements. C Requirements 1, 2 and 3. Classify each of these costs according to its place in the value chain. Within the production category, break the costs down further into three subcategories: Direct Materials, Direct Labor, and Manufacturing Overhead. Then calculate the total cost for each value chain category. (Enter amounts in millions. If an input field is not used in the table, leave the input field empty; do not enter a zero.) Peach Electronics Value Chain Cost Classification Cost R and D Design Direct Materials Production Direct Labor Manufacturing Overhead Customer Marketing Distribution Service Delivery expense Salaries of salespeople Chipset Exterior case for phone Assembly-line workers' wages Data table Delivery expense to customers via UPS. Salaries of salespeople...... Chipset (the set of chips used in a phone) ... Exterior case for phone.... $ 8 EA $ 4 $ 61 EA EA $ 7 12 Assembly-line workers' wages... Technical customer support hotline. . . . Depreciation on plant and equipment . . . . $ EA 2 $ 75 5 $ 3 $ 13 Rearrangement of production process to accommodate new robot . . $ 1-800 (toll-free) line for customer orders... Salaries of scientists who developed new model
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