Wilkerson Company

Introduction:

Wilkerson Co. is in a good and unfavourable competitive environment.

Flow controls provide Wilkerson with a competitive advantage since
they have a significant profit potential.

Wilkerson's competitive edge is that they were inventive, and their

high-quality produced valves earned them a loyal customer base.

The drawback of using an example is that:

1. The five cost pools that make up overhead charges are machining,
receiving and production control, setup labour, engineering, and
packaging and shipment. This indicates that the capacity operation and
resource expenses for the current month are consistent.

2. In order to make long-term product blending decisions, Wilkerson

must examine the profitability of its items. These mixed-judgments
must be based on product cost estimates, project continuation or
cancellation decisions, product designs, pricing, and customer contacts.

Recommendations: The corporation should change the cost drivers to

reduce overhead costs. It can also focus on lowering costs such as
prices, packaging, and transportation.

Submitted by : Akula Padma Priya,PGP12101,SECB