107.Christmas Express makes wreaths in batch sizes of 12. The cutting & assembly process takes 8 minutes per wreath and the decorating process time is 10 minutes per wreath. It takes 12 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.
108.Extreme Wreaths, Inc. makes wreaths in batch sizes of 15 at a time. The cutting & assembly process takes 10minutes per wreath, and the decorating process time is 7 minutes per wreath. It takes 5 minutes to move thewreaths 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 isas follows: cutting & assembly process - 8 minutes. The decorating process is still 7 minutes per wreath. It takes 5minutes 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 andthe new manufacturing process.
(b)Compute the value-added ratio for both the old and new process. Round to the nearest decimal.
109.Which of the following are features of the lean 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 Bright Lamp Company has budgeted its conversion cost for the small lamp production as $85,000 for 1,300production hours. Each unit produced by the cell requires 15 minutes of process time. During the month, 3,800 unitsare 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. (Please round to nearest cent.)
(c)3,650 units are placed into finished goods.