Galleta del Valle

Cookie of the Valley

Chefs

Francis Liao Mark

Messenger

Galleta del Valle

Cookie of the Valley

OUR MISSION

Galleta del Valle is a charitable organization supported by its peace-loving members. We make and sell delicious baked goods with our specialty being the chocolate chip oatmeal cookies. All profits from the sales are donated to various initiatives that help build world peace – and therefore our goal is ‘mo profit’.In this presentation we reveal to you our secret cookie recipe, how we measure our jobs and disclose all of baking cost information.We invite you to join us as a life-time member, because only your contribution can sweeten our cookies and make them the choice of the Valley. Please send $10 membership fee to:

Galleta del Valle c/o Accounting Department

De Anza College

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

Galleta del Valle

Cookies of the DayJOB SPECIFICATIONS

Quantity – 4 dozensCookie Size – about 3” dia. And ¼” thicknessAppearance – in pleasant light brown color with chips visibleTaste – not so sweet as to suggest calories conscientiousnessPackaging – individually wrapped when for sale; samples unwrapped on platter

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

TASK ASSIGNMENTS

Our two chefs split job tasks 50-50, one in charge of operations and the other sales & marketing. Development of measurement and analysis of costs are done jointly as a team.Accidental advisor – sought and abandoned.

* Maybe a picture of our cookie here

Galleta del Valle

Secret Recipe

A Ingredients

1 cup brown sugar1 cup white sugar1 cup butter1 egg1 tablespoon vanilla1/8 cup milk

B Ingredients

3 cups flour1 teaspoon baking powderPinch of salt12 oz. pkg. chocolate chips

Mix together A Ingredients Add B Ingredients and mixBake in 325°F oven for about 10 minutes

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

* Recipe is made up

* Paste our cookie photo here

Galleta del Valle

Job Measurements

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION Category Item Measurement

Throughput Time (min.)

Mixing 40

Baking 10

Cooling 30

Packaging 50

Downtime

Cleanup

Cookie Size Before Baking 2.5”

After Baking About 3.0”

Cookies Made # Met Specs 58

# Rejected 0

# Reworked 0

# Sampled /QC 10

# For sale 48

Cost (Target) Per Cookie $1.00

* Figures are made up

Galleta del Valle

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

Analyzing MeasurementsWhat should the denominator be for the cost per cookie calculation?

What measures would your group use to effectively evaluate production performance?

What measures were unnecessary?  Why?

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

Galleta del Valle

Job Cost Card

Direct Materials Direct LaborManufacturing

Overhead

Items Costs Tasks Hour Costs Items Expenses

Flour $0.25 Purchasing 0.50 $4.00  Oven rental

 

Butter 1.99 Measuring 0.25 2.00  Utility  

Granulated Sugar

0.49 Mixing 0.25 2.00  Packaging  

Brown Sugar 0.43 Baking 0.75 6.00    

Vanilla Extract 1.09 Dipping 0.50 4.00    

Eggs 1.06 Packaging 0.10 0.80    

Chocolate Chips

4.94 Clean-Up 0.75 6.00    

Dried Cherries 4.49          

         Tot Mfg

OH$30.00

Tot Dir Material

$14.74 Tot Dir Labor

3.10 $24.80 AssignedAt $2 x DM$

$29.48

* Figures are made up

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

Galleta del Valle

Analyzing Job Cost

Is the $2 overhead rate reasonable?

What’s our consensus on disposing of overhead variance?

* Insert a final job card here

RECIPE

ANALYZING JOB COST

JOB MEASUREMENT

JOB COST CARD

SUMMARY

COOKIES OF THE DAY

ANALYZING MEASUREMENT

OUR MISSION

Galleta del Valle

Summary

Some clever summary points here