Publications
Publications
- April 1988 (Revised July 1990)
- HBS Case Collection
Schulze Waxed Containers, Inc.
Abstract
Schulze Waxed Containers has recently lost 20% of its business. The firm's cost accounting system spreads fixed costs over the volume produced. The 1987 costs reflect the lower production volume and are higher. The firm has recently adopted a minimum mark up. The result is increased minimum prices and lost business. The firm introduced a capacity-based cost system that identifies the cost of excess capacity. The case analyzes the design of this new cost system.
Keywords
Citation
Cooper, Robin. "Schulze Waxed Containers, Inc." Harvard Business School Case 188-134, April 1988. (Revised July 1990.)