Question 1

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 2

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

Accepted Answer

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

Question 3

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. 
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.

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

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)  $992 
A)  $975 
B)  $870 
C)  $950 
D)  $998 
E)  $992

Question 6

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)  $810 
A)  $775 
B)  $870 
C)  $750 
D)  $675 
E)  $810

Question 7

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. 
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.

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

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

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

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

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?

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?

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:

Managerial Accounting Concepts and Principles

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Analysis

Master Budgets and Performance Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting Cash Flows

Analysis of Financial Statements

Time Value of Money

Accounting for Business Transactions

Filters

Exam 15: Lean Principles and Accounting

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

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

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

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

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?

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?

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:

Managerial Accounting Concepts and Principles

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Analysis

Master Budgets and Performance Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting Cash Flows

Analysis of Financial Statements

Time Value of Money

Accounting for Business Transactions

Filters