However, given the same machine hours, the different hours spend in main room and mechanical room also incurs different costs. Its acquisition will have a significant effect on our per direct labor dollar urden rate, which will result in an increase in charges to our other customers.
Mechanical testing included solderability, component burn-in, thermal shock, lead straightening, and leak detection.
The first cost pool would include burden connected to the technical and administrative functions and would be charged on a rate per direct labor hour. Burden would be directly traced to each of the three burden pools.
Therefore, the three-cost-pool system can trace the costs back to the actual operation factors more clearly. Exhibit 6 provides a breakout of actual direct labor and machine-hour requirements Seligram incorporations electronic testing operations essay lot for the five Inthe division faced major changes in the technology of testing that required important equipment acquisition decisions.
The first pool would contain burden related to the administrative and technical functions division management, engineering, planning, and administrative personnel. Tell us what you need to have done now.
If we wanted to treat the new machine as part of the main testing room we can calculate the new burden from information found in Exhibit 7 and Exhibit 5.
The new generation of digital components, on the other hand, would be much more complex and require verification of up to 10, conditions. Turney, Portland State University and Christopher Ittner, Doctoral Student, under the supervision of Professor Robin Cooper as the basis for class discussion rather than to illustrate either effective or ineffective handling of an administrative situation.
Burden was grouped into a single cost pool that was combined with each of the testing rooms as well as the engineering burden costs related to software and tooling development and the administrating costs of the department.
April 28, Seligram, Inc. Q5 From the data provided in Exhibit 5 and Exhibit 7, we can calculate the main test room burden rate if the new machine is included.
This machine will be very fast and will require little direct labor. Thus, whereas JIT led to an increased number of smaller lots being received by ETO, vendor ertification reduced the number of tests performed. ETO had already noticed an increase in the number and frequency f complaints from customers regarding the rates they were charged for testing.
Solderability involved the inspection of omponents at high temperature. It is clear that a number of customers will walk away if we try to pass this increase on. ETO performed both electrical and mechanical testing see Exhibit 2.
ETO had 6, different software programs on file, of which 1were programs developed in the past year.
Both the accounting manager and consultant regard the administrative and technical functions as the same cost factor. If the new machine was treated as part of the main testing room it will affect the accuracy of the allocation of costs for all the products tested because it will be used so sparingly.
Additionally, the new equipment would only be needed to service the requirements of one or two customers in the foreseeable future. It was also likely that lot sizes would be larger. Would you treat the new machine as a separate cost center or as part of the main testing room.
He recommended the implementation of a three-burden-pool system utilizing separate burden centers for each test room and a common technical and administrative pool.
The advantage that the division brought customers over the outside labs was that the latter provided essentially no engineering support, whereas ETO with its resident engineering resources was able to support such service on a rapid and cost-effective basis.
Digital components, for example, were currently tested for up to conditions combinations of electrical input and output states. Thermal shock involved the cycling of components between high and low temperatures.
Seligram Incorporations (Electronic testing operations) Essay by superuco, University, Bachelor's, B+, April download word file, 7 pages download word file, 7 pages 0 votes.
Below is an essay on "Seligram" from Anti Essays, your source for research papers, essays, and term paper examples. Seligram, Inc.: Electronic Testing Operations 1.
Seligram, Inc. Electronic Testing Operations Essay example Words | 11 Pages. Rev. April 28, Seligram, Inc.: Electronic Testing Operations tC We put in a piece of automated equipment a year ago that only fits the requirements of one customer. Paul Carte, Manager Introduction No Electronic Testing Operations (ETO), a division of Seligram, Inc., provided centralized testing for electronic components such as integrated circuits.
ETO was created as a result of a decision in to consolidate electronic testing from 11 different divisions of Seligram. Seligram Incorporations (Electronic testing operations) Essay by superuco, University, Bachelor's, B+, April download word file, 7 pages download word file, 7 pages 0 votes.
Electronic Testing Operations (ETO), a division of Seligram, Inc., provided centralized testing for electronic components such show more content For example, the specifications for an amplifier may have called for a 1-volt input to be amplified into a .Seligram incorporations electronic testing operations essay