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Huron Automotive

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Alexa Allgood

on 18 November 2013

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Transcript of Huron Automotive

Huron Automotive
Huron Automotive
Who is Sandy Bond?
Three concerns of HA
Small supplier of selected vehicle parts
HA competes with larger suppliers in industry

Present Method
Proposed Methods

ACCT 5213, Gaharan, Case 18-1
Alexa Allgood

Divisions of the CFI Department
Produces cases,
valves, and
certain other
parts needed.
Casting &
Custom work will go through
all of the other four divisions,
similar to the standard parts.
Present Method
Bond's 1st Proposed Method
Bond's 2nd
Proposed Method
Method Comparison

In Conclusion...
HA is having problems with the way they cost their jobs
Department heads oppose new methods
Costs can be traced and allocated accurately with new method
HA should use one of the variants of new costing and increase the price of products
Profit Margin is too small to make any meaningful impact on company operations.
Preps parts for further machining
Performs all machining processes on standard parts.
Assembles and tests all products, standard and custom.
Full transcript