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MAC3701 Assignment 2 (COMPLETE ANSWERS) Semester 2 2024 - DUE 9 September 2024
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MAC3701 Assignment 2(COMPLETE ANSWERS)
Semester 2 2024 - DUE 9
September 2024
CONTACT: biwottcornelius@gmail.com
, MAC3701 Assignment 2 (COMPLETE ANSWERS)
Semester 2 2024 - DUE 9 September 2024
Company information Pinatech (Pty) Ltd (“Pina”), based in
Isando, Gauteng, has a male-dominated executive team
and manufactures two types of premium laptop models:
14-inch Deluxe and 16-inch Elite laptops (one laptop is
equal to one unit) for professionals and gamers. Their
products are known for superior performance and quality;
hence, their laptops carry an above-industry four-year
warranty. The company has a strong brand reputation and
a loyal customer base. The company has a December
financial year end, uses an absorption costing system,
and values all its inventories using the first-in-first-out
(FIFO) method. Pina’s operations occur in two production
stages, firstly the enclosure stage and then the assembly
stage. Enclosure stage Using advanced machinery and
semi-skilled labour, this stage combines aluminium and
magnesium alloys to mould and produce high-end,
durable laptop casings. Assembly stage During this stage,
highly skilled technical labourers carefully install the main
circuit board and advanced component sets into the
enclosure. Both production stages are complex and time-
consuming and are managed by only one factory
supervisor who monitors both operations and reports
back to the production head. The company operates at
only 75% production capacity and has opportunities to
sell laptop casings as an additional product line. The
company has been facing challenges from intense
competition in a saturated market. Additionally, Pina
relies on a global supply chain to source its critical raw
materials, aluminium and magnesium. Recent geopolitical
tensions and trade restrictions have led to delays and
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