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Using this info - https://www.chegg.com/homework-help/questions-and-answers/help-rest-formulas-sheet-see-understand-s-done-data-section-overhead-item-expected-cost-co-q45759331 WHAT-IF ANALYSIS Bumblebee Mobiles is trying to reduce its unit costs. Management believes that the two easiest areas to save
Using this info - https://www.chegg.com/homework-help/questions-and-answers/help-rest-formulas-sheet-see-understand-s-done-data-section-overhead-item-expected-cost-co-q45759331
WHAT-IF ANALYSIS
- Bumblebee Mobiles is trying to reduce its unit costs. Management believes that the two easiest areas to save costs are setups and power. Determine the new costs information for each of the following independent situations. Remember to reset your data to the original information after answering each item.
- What are the new unit costs of each product if annual setup costs are reduced by 25%? (change cell B8)
Bubble: $ |
| Burst: $ |
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- What is the new unit cost of each product if the number of setups can be reduced by 50%? (change cells B18 and C18)
Bubble: $ |
| Burst: $ |
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- What is the new unit cost of each product if annual power costs are reduced by 70%? (change cell B11)
Bubble: $ |
| Burst: $ |
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- Which one of the cost saving ideas would create the lowest cost for each product? Why?
- Extend the Data Section and the Answer Section of ABC2 to include a third cell phone line called Bump, using the following information. Save the completed worksheet as ABCT.
| Bump |
Direct Materials | $1,250 |
Direct Labor | $800 |
Units completed | 600 |
Number of setups | 3 |
Number of orders | 2 |
Machine hours | 2,500 |
Kilowatt hours | 2,000 |
CHART ANALYSIS
- Reset the Data Section to its initial values and click the Chart sheet tab. The stacked-column chart on the screen is based on the program data and your answers.
- Identify what this chart describes.
- What does each section of the bars represent?
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- What would be an appropriate title for this chart?
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