Analysis of Direct and Indirect Costs

  Write a 2–3 page paper in which you: 1. Analysis of Universal Drones, Inc.’s expenses o Analyze and provide examples in detail the following costs that both Universal Drones and VectorCal will incur when contracting with the government. o Labor costs. o Manufacturing costs. o Research and development. o General administrative expenses. 2. Analysis of Direct and Indirect Costs o From the previous section define and indicate which costs will be direct and indirect. o Direct costs. o Labor. o Manufacturing. o Research and development. o General & administrative expenses. o Indirect Costs o Labor. o Manufacturing. o Research and development. o General & administrative expenses. 3. Allocation Methods o Discuss the following cost allocation methods and indicate which ones that Universal Drones, Inc., and VectorCal would use. Remember to provide a rationale for each of these methods. o Units of production method. o Machine hour method. o Direct labor hour method. o Direct labor cost method.