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ass02_due090908

# ass02_due090908 - ISE460 Fall 2008 Due Team assignment...

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ISE460 Fall 2008 Assignment 02 Due 09/09/08 Team assignment! No.1 Read Chapter 8 before doing the homework! Scan ahead through chapter 3. This is the most fundamental and important chapter in the book – everything else depends on it. Familiarize yourself with some of the material before the lecture on 09/06 No. 2 (1 point) An executive from a large merchandising firm has called your vice-president for production to get a price quote for an additional 100 units of a given product. The vice-president has asked you to prepare a cost estimate. The number of hours re- quired to produce a unit is 5. The average labor rate is \$12 per hour. The materials cost \$14 per unit. Overhead for an additional 100 units is estimated at 50% of the direct labor cost. If the company wants to have a 30% profit margin, what should be the unit price to quote? No. 3 (2 point) Pearson Company manufactures a variety of electronic printed circuit boards (PCBs) that go into cellular phones. The company has just received an offer from an outside

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ass02_due090908 - ISE460 Fall 2008 Due Team assignment...

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