Question 1

Which of the following is the correct formula for calculating cycle time?

Accepted Answer

A)   Process time + inspection time − move time − wait time.
B)   Process time − inspection time + move time + wait time.
C)   Process time + inspection time + move time + wait time.
D)   Process time − inspection time − move time − wait time.
E)   Process time + inspection time + move time − wait time.F) All of the above
G) A) and D)

Question 2

Haupt Inc. manufacturers water pumps. Each pump requires $155 of raw materials and $315 of conversion costs. Each pump is sold for $725. Last month Haupt produced and sold 69 pumps. The journal entry to apply conversion costs to production would include:

Accepted Answer

A)   Debit to work in process inventory of $21,735.
B)   Credit to sales of $21,735.
C)   Debit to cost of goods sold of $31,735.
D)   Credit to work in process inventory of $21,735.
E)   Debit to accounts payable of $31,735.F) None of the above
G) C) and D)

Question 3

Using the information below, compute cycle time:   Process time 6.0 hours  Inspections time 0.5 hours  Move time 0.6 hours  Wait time 0.9 hours  Storage time 72.0 hours \begin{array}{lr}	ext { Process time } & 6.0 	ext { hours } \	ext { Inspections time } & 0.5 	ext { hours } \	ext { Move time } & 0.6 	ext { hours } \	ext { Wait time } & 0.9 	ext { hours } \	ext { Storage time } & 72.0 	ext { hours }\end{array} Process time  Inspections time  Move time  Wait time  Storage time ​6.0 hours 0.5 hours 0.6 hours 0.9 hours 72.0 hours ​

Accepted Answer

A)   7.5 hours.
B)   6.5 hours.
C)   8.0 hours.
D)   80.0 hours.
E)   7.1 hours. F) A) and B)
G) C) and D)

Question 4

Vista Company's has 32 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Accepted Answer

A)   $975
B)   $870
C)   $950
D)   $998
E)   $992F) None of the above
G) C) and D)

Question 5

Vista Company has 25 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Accepted Answer

A)   $775
B)   $870
C)   $750
D)   $675
E)   $810F) A) and D)
G) None of the above

Question 6

Work in process inventory reflects a delay in getting products to customers, which is considered wasteful by lean businesses.

Accepted Answer

A) True 
 B)False

Question 7

Lean manufacturers generally have more transactions to record and use more accounts than manufacturers using traditional processes.

Accepted Answer

A) True 
 B)False

Exam 15: Lean Principles and Accounting

Which of the following is the correct formula for calculating cycle time?

Correct Answer
verified

Correct Answer
verified

Haupt Inc. manufacturers water pumps. Each pump requires $155 of raw materials and $315 of conversion costs. Each pump is sold for $725. Last month Haupt produced and sold 69 pumps. The journal entry to apply conversion costs to production would include:

Correct Answer
verified

Vista Company has 25 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Correct Answer
verified

Lean manufacturers generally have more transactions to record and use more accounts than manufacturers using traditional processes.

Correct Answer
verified

Work in process inventory reflects a delay in getting products to customers, which is considered wasteful by lean businesses.

Correct Answer
verified

Vista Company's has 32 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Correct Answer
verified

Exam 15: Lean Principles and Accounting

Which of the following is the correct formula for calculating cycle time?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Haupt Inc. manufacturers water pumps. Each pump requires $155 of raw materials and $315 of conversion costs. Each pump is sold for $725. Last month Haupt produced and sold 69 pumps. The journal entry to apply conversion costs to production would include:

Correct AnswerverifiedShow Answer

Vista Company has 25 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Correct AnswerverifiedShow Answer

Lean manufacturers generally have more transactions to record and use more accounts than manufacturers using traditional processes.

Correct AnswerverifiedShow Answer

Work in process inventory reflects a delay in getting products to customers, which is considered wasteful by lean businesses.

Correct AnswerverifiedShow Answer

Vista Company's has 32 days' payable outstanding based on the current year's cost of goods sold of $11,315. What is Vista's balance in accounts payable?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified