Question : 108. Christmas Express makes wreaths in batch sizes of 12. The : 1251772

 

108. Christmas Express makes wreaths in batch sizes of 12. The cutting & assembly process takes 7 minutes per wreath and the decorating process time is 10 minutes per wreath. It takes 8 minutes to move the wreaths from the cutting & assembly process to the decorating process. (a) Compute the value-added, non-value-added, and the total lead time of the wreath process.(b) Compute the value-added ratio.  Round to the nearest decimal.

109. Which of the following are features of the just-in-time manufacturing system?(a) maintaining excess inventory to ensure that products will always be available(b) cross training of employees(c) giving employees additional authority and responsibility(d) product oriented layout(e) increased set-up time

110. The Thudaka Company has budgeted its conversion cost for the small lamp production as $65,000 for 1,300 production hours. Each unit produced by the cell requires 15 minutes of process time. During the month, 3,800 units are manufactured in the cell. the estimated material cost is $18 per unit. Provide the following journal entries.(a) Materials are purchased to produce 4,000 units.(b) Conversion costs are applied to 3,800 units of production.(c) 3,650 units are placed into finished goods.

111. A quality control activity analysis indicated the following four activity costs of a hotel. 

Verifying credit card information$40,000

Customer service training20,000

Discounting room rates due to poor customer service16,000

Correcting charges to customer invoices8,000

Total$84,000

Sales are $750,000 for the year. Prepare a cost of quality report.

112. Connally Company’s payroll department required that every time card be checked twice to ensure pay accuracy. The company has 1,000 employees and has determined that the checks cost the company $8,000 per year. They have decided to change this policy and only check those names which appear on the exceptions report and a random check on the entire payroll. Currently only 15% of the payroll is evaluated each payroll. Determine the inspection activity cost per employee on the 1,000 employees both before and after the improvement.

113. Extreme Wreaths, Inc.  makes wreaths in batch sizes of 15 at a time. The cutting & assembly process takes 10 minutes per wreath, and the decorating process time is 7 minutes per wreath. It takes 5 minutes to move the wreaths from the cutting & assembly process to the decorating process. In a effort to improve the lead time, the company has tried reducing the batch size to 10 units. The new process is as follows: cutting & assembly process – 8 minutes. The decorating process is still 7 minutes per wreath. It takes 5 minutes to move the wreaths from the cutting & assembly process to the decorating process. (a) Compute the value-added, non-value-added, and the total lead time of the wreath process for both the old and the new manufacturing process.(b) Compute the value-added ratio for both the old and new process.  Round to the nearest decimal.

114. Axelgold Company produces parts for the auto industry. Part X2 is machined in Department #1, which has the following budgeted conversion costs: 

Labor$230,000

Depreciation32,000

Maintenance12,000

Supplies26,000

Total$300,000

All costs are driven by machine hours. Total possible hours for the year are 2,800. It takes .03 hours to machine one unit of Part X2. 

(a)Compute Department #1’s budgeted cell conversion cost rate for the current year.

Round to the nearest cent.

(b)Compute Part X2’s budgeted cell conversion cost per unit.  Round to the nearest cent.

 

 

 

 

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