Chapter 2, Problem 1TP

In a team of two or three students, interview the manager/owner of a local business. In this interview, ask the manager/owner the following questions:

A. Does the business collect and use cost information to make decisions?

B. Does it have a specialist in cost estimation who works with this cost data? If not, who is responsible for the collection of cost information? Be as specific as possible.

C. What type of cost information does the business collect and how is each type of information used?

D. How important does the owner/manager believe cost information is to the success of the business?

Then, write a report to the instructor summarizing the results of the interview.

Content of the memo must include

• date of the interview,
• the name and title of the person interviewed,
• name and location of the business,
• type of business (service, merchandising, manufacturing) and brief description of the goods/services provided by the business, and
• responses to questions A-D.