Cost Accounting Essay

        The strategic opportunity originally selected was to create a position for designing blueprints for the creation of parts to encourage businesses who cannot support a position like that to use Acro Machining for needed parts.  It was originally suggested that someone already on staff be promoted into the position, however, that would be unrealistic as the person designing blueprints would have to be proficient in CAD 3D (Computer-aided design software).  The reason for this, is that CAD 3D creates the plans that the machine uses to automatically create the parts to the specific tolerance levels.  Additionally, because parts can be used in anything from a Genie Lift, to an exercise bicycle, safety should be strongly considered when considering the right person for this position.  There will be a large difference in the ability of an engineer who has 4-6 years of schooling, and a machinist who may have no formal education, but has taught themselves at home how to use the software and create blueprints.  

        Implementing this plan also requires that the CAD 3D software is purchased, which would be a $1,500 minimum purchase.  This would be dependent on the software working with the machines currently owned, and the preference of the designer.  Reliability and utility will also need to be taken into account, and the cost could rise for purchasing a license to the software.  Another purchase that will be required is a computer that is equipped to handle to software and be extremely reliable to avoid having technology issues affect business.  Depending on the cost of the computer, this will add to the current depreciation.  It would also change the amount on 13.9, acquisition of new assets.  Because a $50,000 machine was purchased this year, any amount spent towards a computer would raise that amount.