Make-or-buy problems SIMPLIFIED | ACCA PM / F5 | Question Robber | Decision making

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  • Опубліковано 8 лют 2025
  • 🚀 Get all my PM Videos here: tinyurl.com/AC... 🚀 How to solve a Make or Buy question: here's the spreadsheet exam technique for question Robber Part A. We'll cover the topic from decision making, Make-or-Buy, found in the June 2012 PM exam. In this video I'll show you lots of CBE spreadsheet exam technique and tips to help you pass your CBE PM exam. After you watch this video Make or buy will be simplified.
    Here's the link to question Robber: drive.google.c...
    Get help, exam technique and tips for passing the ACCA PM exam.
    ****************************
    Steve Willis ACCA
    www.stevewillistraining.com
    How to pass ACCA PM
    Make or buy help
    #acca #accaexam #accaexams
    Exams For more on ACCA PM Make-or-Buy, check out Open Tuition • ACCA F5 Make or Buy de...
    Find many other helpful videos on James Wright ACCA / jameswrightacca
    #acca #accatips #accarevision #accaexam #accapm

КОМЕНТАРІ • 30

  • @SteveWillisACCA
    @SteveWillisACCA  Місяць тому

    🚀 Get all my PM videos here: www.stevewillistraining.com 🚀

  • @Amanda-ru3jy
    @Amanda-ru3jy 2 роки тому +2

    i wish i meet you earlier sir!! but its too late. Thank you for ur youtube videos it helps me a lot!! wish me luck for dec exam!!

  • @AddyMasy
    @AddyMasy Місяць тому +1

    Thank you for the explanation

  • @BilalAhmed-fi3nj
    @BilalAhmed-fi3nj Рік тому +2

    Steve sir your'e the best. ❤.

  • @MaxX-ou2fw
    @MaxX-ou2fw 2 роки тому +1

    hey, I just wanted to say thank you because your lectures really helped me in my preparation and it helped me clear pm in the December session. I felt that the subject really connected and would you recommend I take up APM as a professional paper because I don't really feel sure about financial management.

    • @SteveWillisACCA
      @SteveWillisACCA  2 роки тому +1

      well done on the pass! AFM is heavy on formulas and calculations. APM is 20% calculations and 80% analysis. So if you like that better APM is for you.

    • @MaxX-ou2fw
      @MaxX-ou2fw 2 роки тому +1

      @@SteveWillisACCA thank you for your feedback

  • @BilalAhmed-fi3nj
    @BilalAhmed-fi3nj Рік тому +2

    Hi steve. I have a doubt. I have learned that in the make or buy decision making process, we have to compare the variable cost of production/unit in-house vs the outside external price. Why have you considered the whole values($) and not per unit? Why are you considering the fixed costs too in the answer 😢

    • @SteveWillisACCA
      @SteveWillisACCA  Рік тому

      Hello! The information is given as totals for 80,000 units, so at the end we divide by 80,000 to get to the unit level. The fixed costs, like the machine and the insurance, we assume those are product specific fixed costs--if we stop making the units, we stop paying for maintenance on the machine (the fixed cost) or the insurance on that inventory or those machines (the other fixed cost). Make sense?

    • @BilalAhmed-fi3nj
      @BilalAhmed-fi3nj Рік тому

      @@SteveWillisACCA thank you steve sir. Now i get it ❤️

  • @jadensparrow7663
    @jadensparrow7663 Рік тому +1

    Great explanation, one doubt, if depreciation is non cash expense then why we are including it ? because insurance is included with it ?

    • @SteveWillisACCA
      @SteveWillisACCA  Рік тому +1

      Hi there! That is ambiguous as you correctly flagged. I only include it because it also says "insurance." If you get something like this on the exam, make a note in the cell next to the working "I assume the insurance part is a cash flow".

    • @jadensparrow7663
      @jadensparrow7663 Рік тому +1

      @@SteveWillisACCA thank you very much

    • @SteveWillisACCA
      @SteveWillisACCA  Рік тому

      You're welcome :)

  • @MUHAMMADHAZIMBINABDURRAHMAN
    @MUHAMMADHAZIMBINABDURRAHMAN 3 місяці тому

    the information said that the heat and power cost would
    incurred irrespective of whether the components are manufactured in-house or not. So why do we need to include it?

    • @SteveWillisACCA
      @SteveWillisACCA  3 місяці тому

      Hi, we only incur the part that is directly linked to the keypads and and screens. That is the part that we consider.

  • @sucdisaid3447
    @sucdisaid3447 Рік тому +1

    Hey, I have an Issue for Machine cost, why are we skipping fixed cost portion of $4000 and $6000? as result Machine is the operating tool? Please clarify.??

  • @divyadinesh5785
    @divyadinesh5785 2 роки тому +1

    Sir I have a doubt, why did you add fixed cost relating with machine cost? It's semi variable so fixed and variable are included

    • @SteveWillisACCA
      @SteveWillisACCA  2 роки тому +1

      Hi there, the semi-variable machine costs are separated into a fixed part, given in the question and then the variable part, based on the set-ups. So there are two lines for that. Does that make sense?

    • @divyadinesh5785
      @divyadinesh5785 2 роки тому +1

      @@SteveWillisACCA 👍🏻

  • @MinimalistExplainer
    @MinimalistExplainer 2 роки тому +2

    Hello,Is your F5 premium videos free now ?
    If not, whats the procedure to buy it

    • @SteveWillisACCA
      @SteveWillisACCA  2 роки тому +1

      Hi there--my premium video site is www.accaexamhelp.com Please have a look :)

  • @khizar5217
    @khizar5217 Рік тому +1

    I just had problem with one thing. How is depriciation a relevant cost. It's not a cash flow. Even if it's specific depreciation.

    • @SteveWillisACCA
      @SteveWillisACCA  Рік тому +1

      This is an ambiguity in the question, as they lump depreciation with insurance in the same line. Insurance is a cash flow, depreciation isn't, as you say. So if you put 0 in that line and said, "Dpn is not a cash flow so I exclude this cost" you'd get the credit.

    • @khizar5217
      @khizar5217 Рік тому

      @@SteveWillisACCA ok thanks. I also searched a lot and came to know that if depreciation is specific like if a specific product reduces the value of a machine then it can be a relevant cost. And your technique is very effective and to the point.

  • @leewebster2639
    @leewebster2639 2 роки тому +2

    💪 𝐩𝐫𝐨𝐦𝐨𝐬𝐦