The Johnson Cycle Company has completed a total cost analysis for two suppliers of tires to support

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The Johnson Cycle Company has completed a total cost analysis for two suppliers of tires to support their business. They also consider delivery speed, consistent quality and volume flexibility in their selection process. Each criterion is given a weight (total = 100 points), and each supplier is scored on each criterion (1 = poor, 10 = excellent). The data are shown in the following table.
The Johnson Cycle Company has completed a total cost analysis

Using the preference matrix approach for selecting suppliers, which supplier should Johnson select?

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Management Accounting Information for Decision-Making and Strategy Execution

ISBN: 978-0137024971

6th Edition

Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young

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