Exhibit 1: Wilkerson company operating results

Sales
Direct labour
Direct material
Manufacturing overhead
Machine related (Dep/Maint)
Set up labour
Receiving and production control
Packaging and Shipping
Engineering Services
Fixed manufacturing overhead
Gross margin
General, selling and admin. Expense
Operating income (pre-tax)

2152500
271250
458000
336,000
40,000
180,000
150,000
100,000
806,000
617250
559650
57600

29%
3%

Exhibit 2: Product profitabiltiy analysis

10
16
30
56

12.5
20
37.5
70

Flow
controllers
10
22
30
62

86.15
35%

107.69
35%

95.38
35%

86
35%

87
20%

105
41%

Valves
Direct labour cost
Direct material cost
Manufacturing overhead
Standard unit costs
Target selling price
Planned gross margin (%)
Actual selling price
Actual gross margin (%)

Pumps

Exhibit 3: Product data

Valves

Pumps

Materials per unit (Components)

Materials per unit

4
4
12

5
6
14

Material cost per unit

Direct labour per unit (DL hrs.)
Direct labour $/unit @25/DL hour
Machine hours per unit

16
0.4
10
0.5

20
0.5
12.5
0.5

Flow
controllers
10
4
10
8
22
0.4
10
0.3

Exhibit 4: Monthly production and operating statistics

Valves
Production (units)
Machine hours
Production runs
Number of shipments
Hours of engineering work

7500
3750
10
10
250

Pumps
12500
6250
50
70
375

Flow
controllers
4000
1200
100
220
625

Total
24000
11200
160
300
1250