上游充通大粤 SHANGHAI JIAO TONG UNIVERSITY Fixed costs versus variable costs Fixed costs:Independent of manufacturing lot size (such as cost of manufacturing equipment,molds,tools) >Variable costs:dependent on lot size (such as raw materials,assembly labors) The bill of materials (BOM) >BOM augmented with cost information:a very useful supporting tool for DFM Textbook case:page 216 EXHIBIT 11-6Fixed costs versus variable costs  Fixed costs: Independent of manufacturing lot size (such as cost of manufacturing equipment, molds, tools)  Variable costs: dependent on lot size (such as raw materials, assembly labors) The bill of materials (BOM)  BOM augmented with cost information: a very useful supporting tool for DFM  Textbook case: page 216 EXHIBIT 11-6