WEEK 5

Sep 24th, 2013
Anonymous
Category:
Accounting
Price: $15 USD

Question description

AMD Construction

Read Case 2: AMD Construction from the following text: REQUIRED TEXT (Benton, W. C. Jr. (2010). Purchasing & supply chain management, 2nd ed. New York, McGraw-Hill Irwin)  and answer the following questions in a 2-4 page, APA formatted paper

·  Discuss the various steps in the capital equipment acquisition process.

·  Develop a comprehensive analysis of the negotiations between Jane Axle and Tom Reed. (Provide a chart to show financial impacts.)

·  What is your assessment of the negotiations process, given what you have studied?  What are your recommendations for Mr. Reed? 

You must justify your conclusions.

Suggestion of format for analysis:

Current Machine

CAT-1 machine-purchase

CAT-1 machine - Lease

Operating cost (without operators)

Direct Labor
 

Depreciation (straight line) 4 months

Lease Expense 4 Months

Interest expense at 8% for 4 months

Salvage Value after 3 years

Unexpected Costs

Totals

Grading Criteria:

Content Criteria

Weight

Discusses the various steps in the capital equipment acquisition process.

2

Develops a comprehensive analysis of the negotiations between Jane Axle and Tom Reed. (Provides a chart to show financial impacts.)

2

Assesses the negotiations process, providing recommendations for Mr. Reed.

2

Writing Skills

The content is well organized and presented in a clear manner.

.5

Sentences are complete, clear and concise.

.5

Style Criteria

The assignment is 2-4 pages, double-spaced and in APA format.

.5

The assignment includes a cover page that includes:

− Title of paper

− Student’s name

− Course name and number

− Instructor’s name

− Date submitted

.25

The assignment includes, on the final page, a list of references that is completed according to APA style as outlined in the approved style guide.

.25

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