2024 – This assignment is a continuation of the previous assignments where you will focus more on your company Universal Drones

2024 – This assignment is a continuation of the previous assignments where you will focus more on your company Universal Drones.

This assignment is a continuation of the previous assignments where you will focus more on your company, Universal Drones Inc., and VectorCal. You will make more assumptions on specific types of costs.

Compare your company with VectorCal relative to the price of the acquisition, semi-variable costs, and allocated direct and indirect costs of the drone navigation system. Justify the response.

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Assignment Instructions

2–3-page paper

Write a 2–3-page paper in which you:

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Analysis of Universal Drones, Inc.’s expenses

Analyze and provide examples in detail the following costs that both Universal Drones and VectorCal will incur when contracting with the government.

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Labor costs.

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Manufacturing costs.

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>research

Research and development.

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General administrative expenses.

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Analysis of Direct and Indirect Costs

Previous section define

From the previous section define and indicate which costs will be direct and indirect.

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Direct costs.

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>labor

Labor.

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Manufacturing.

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>research

Research and development.

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General & administrative expenses.

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Indirect Costs

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>labor

Labor.

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Manufacturing.

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>research

Research and development.

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General & administrative expenses.

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Allocation Methods

Cost allocation methods

Discuss the following cost allocation methods and indicate which ones that Universal Drones, Inc., and VectorCal would use. Remember to provide a rationale for each of these methods.

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Units of production method.

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Machine hour method.

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Direct labor hour method.

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Direct labor cost method.