Question

Suppose the smartphone manufacturer Gamma Electronics provides the following information for its costs last month (in million
15. UNE M endis, Utrect y used in the table, leave the bd ategory. (Enter amounts in mi 10 Cost R and D Delivery expense to c
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Answer #1
Gamma Electronics
Value Chain Cost Classification
Production
Cost R & D Design Direct Materials Direct Labor Manufacturing Overhead Marketing Distribution Customer Service
Delivery Expense $ 10
Salaries of Salespeople $ 4
Chipset $ 58
Exterior case for phone 7
Assembly line workers wages $ 10
Technical customer support hotline $ 6
Depreciation on plant and equipment $ 75
Rearrangement of production process $ 4
1-800 ( toll free) line 4
Salaries of scientists who developed new model $ 14
Total 14 4 65 10 75 8 10 6
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