EBK OM
6th Edition
ISBN: 9781305888210
Author: Collier
Publisher: YUZU
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Chapter 13, Problem 10PA
(a)
Summary Introduction
Interpretation: The number of transfer slips that are needed on Friday is to be determined.
Concept Introduction:
The concept of dependent demand will be useful in this problem. Knowing the demand for an end item, and the quantity of the component parts per unit of end item, it is possible to determine the number of component parts required.
(b)
Summary Introduction
Interpretation: The number of withdrawals slips that are needed on Friday is to be determined.
Concept Introduction:
The concept of dependent demand will be useful in this problem. Knowing the demand for an end item, and the quantity of the component parts per unit of end item, it is possible to determine the number of component parts required.
(c)
Summary Introduction
Interpretation: The number of deposits slips that should be ordered is to be determined.
Concept Introduction:
The concept of dependent demand will be useful in this problem. Knowing the demand for an end item, and the quantity of the component parts per unit of end item, it is possible to determine the number of component parts required.
(d)
Summary Introduction
Interpretation: The end item and the component part in this bank example are to be determined.
Concept Introduction:
The concept of dependent demand will be useful in this problem. Knowing the demand for an end item, and the quantity of the component parts per unit of end item, it is possible to determine the number of component parts required.
(e)
Summary Introduction
Interpretation: The implications of having too many or too few deposit, withdrawal and transfer slips are to be determined.
Concept Introduction:
The concept of dependent demand will be useful in this problem. Knowing the demand for an end item, and the quantity of the component parts per unit of end item, it is possible to determine the number of component parts required.
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QuestionByron Sports is a manufacturer of sportswear. It produces all of its products in one department using a process costing system.The information for the current month is as follows:Beginning work in process (30% complete as to conversion cost) 12,000 unitsUnits started 90,000 unitsUnits completed and transferred out ?Ending work in process (70% complete as to conversion) 8,000 unitsCosts:Beginning work-in-process direct materials $28,800Beginning work-in-process conversion $5,040Direct materials added during month $216,000Conversion costs incurred during the month $139,200Direct materials are added at the beginning of the process. Conversion costs are incurred uniformlythroughout the production process. Costing is handled on a FIFO basis
Required:a. Prepare a production cost worksheet using 5 steps approach.b. Under what conditions would a process costing system be more appropriate than a job order costing system? Explain.
Which approach to process planning is more useful in a time-sharing environment?
The XYZ company produces all type of office furniture. The “Executive Secretary” is a chair that has been designed using ergonomics to provide comfort during long office hours. The chair sells for $130. There are 480 minutes available during the day, and the average daily demand has been 50 chairs. There are eight tasks;
Task
Time (min)
Immediate predecessor
A
4
-
B
7
-
C
6
A, B
D
5
C
E
6
D
F
7
E
G
8
E
I
6
F, G
a) Draw a precedence diagram of this operation
b) What is the cycle time for this operation?
c) What is the theoretical minimum number of workstations?
d) Assign tasks to the workstations
e) What is the idle time per cycle?
f) What is the efficiency of the assembly line?
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