Analysis of Direct and Indirect Costs

Compare your company with SolarCal relative to the price of acquisition, semi-variable costs, and allocated direct and indirect costs of the solar power grids. Justify the response.
Instructions
Write a 2–3 page paper in which you:

  1. Analyze expenses:
    o Analyze and provide detailed examples of the following costs that both Superstar Solar, Inc. and SolarCal will incur when contracting with the government.
    o Labor costs.
    o Manufacturing costs.
    o Research and development.
    o General administrative expenses.
  2. Analyze direct and indirect costs:
    o From the previous section, define and indicate which costs will be direct and indirect.
    o Direct costs.
     Labor.
     Manufacturing.
     Research and development.
     General and administrative expenses.
    o Indirect Costs
     Labor.
     Manufacturing.
     Research and development.
     General and administrative expenses.
  3. Allocation Methods
    o Discuss the following cost allocation methods and indicate which ones Superstar Solar, Inc., and SolarCal would use. Remember to provide a rationale for each of these methods.
    o Units of production method.
    o Machine hour method.
    o Direct labor hour method.
    o Direct labor cost method

find the cost of your paper

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