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Visit* two different businesses where products are being assembled. Watch the assembly process as raw materials are changed into finished products. Your project should be

Visit* two different businesses where products are being assembled. Watch the assembly process as raw materials are changed into finished products. Your project should be a written report with the following information. Make sure that your report addresses each question for both products. Please do not repeat the same answers for the two different products. Find two different products that are different enough so as not to have a problem identifying very different answers for each of the questions.

YOU CAN PICK ANY TWO BUSINESSES FROM HOW it MADE YOUTUBE CHANNEL OR ANY OTHER SOURCE PLEASE FOLLOW THE FOLLOWING STEPS.

1. Where did you observe the production process? What was the product being made?

2. Describe three direct materials in the product. Why would these direct materials be classified as such? When are these materials added in the production process?

3. Describe two people (by job function) whose wages would be classified as direct labor costs. Why would these wages be classified as direct labor?

4. Describe three manufacturing overhead costs that are clear from your direct observation. Why are these costs classified as overhead costs?

5. Describe two manufacturing overhead costs that are not clear from your observation, but that you assume would be incurred. Why are these costs classified as overhead costs?

6. Do you believe this company would use job order or process costing? Why?

7. Look back at questions #4 and #5. You should have five different overhead costs described in your answers to those two questions. What would be the best activity pool and related cost driver for each of the five overhead costs you described? Each of the overhead costs should have its own activity cost pool and each activity cost pool should have its own driver. Do not use labor as an activity or direct labor hours as a driver.

Create a table like this to complete question #7. Your two products should have different costs and different drivers.

Overhead Cost Appropriate Activity Appropriate Cost driver for the Activity
Example: Water Product washing Gallons of water used to wash each product

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