s/n Top Level discussion Column1

1 Design of Ashtray 1.1

2 Production of Prototype 2.1
2.2
3 Production of Product 3.1
3.2
3.3
3.4
4 Survey 4.1
4.2
5 Marketing Cost 5.1
Total Budget
 Variable Costs
WBS Direct Labour Direct Material
Hire Designer $12,000
Purchase Materials $100
Produce Prototype $600
Purchase Materials $2,500
Hire Manufacturer $20,000
Quality Check $5,000
Shipment
Print Surveys $16
Hire part-time Workers $1,120
Advertising

The Assumptions:
1. No. of Prototypes = 2
2.Materials for prototype = $50 per prototype
3. Hire workers (prototype) = $300 per prototype
4. No. of Products = 100
5. Materials for production = $25 per product
6. Hire workers (production) = $250 per product
7. Shipping cost = $7 per product
8. No. of paper sheet for survey = 400
8.Cost of survey = $0.04 per sheet
9.Hire part-time workers (survey) = $40 per person
10.Hire external designer= $12,000
11.time cycle for survey = 7 days
12.Radio & poster advertising $10,000
13.No. of workers = 2 workers for prototype
4 workers for productuction
1 checker
4 part-time workers
le Costs Fixed Costs
Direct Expenses Overhead Costs Contingency Cost Total variable costs
- $1,200 $13,200
- $10 $110
- $60 $660
- $250 $2,750
- $2,000 $22,000
- $500 $5,500
$700 - $70 $770
- $4 $20
- $112 $1,232
$10,000 - $1,000 $11,000
Err:502 Err:502
Total fixed costs Total Costs
0 $13,200
0 $110
0 $660
0 $2,750
0 $22,000
0 $5,500
0 $770
0 $20
0 $1,232
0 $11,000
Err:502 Err:502