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The traditional costing system for an iPhone includes materials such as: iron and aluminum
Each year when a new iPhone comes out, it takes about 400 steps to steps to assemble the iPhone, including polishing, soldering, drilling and fitting screws.
After about a year of hard work and manufacturing, the newest iPhone is ready to be sold.
For activity based costing, an iPhone uses this for decision making about final pricing of products.
For the newest iPhone, it costs about $490 to make
After manufacturing and making products, we sell iPhones at the Apple Store for about $700