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Flash Memories Inc. is considering a new just-in-time product cell. The present manufacturing approach produces in four separate steps. The production batch sizes are 60 units. The process time for is step is as follows.
Process step 1 5 MinProcess step 2 3 MinProcess step 3 11 MinProcess step 4 6 Min
The time required to move each batch between steeps is 15 minutes. In addition, the time to move raw materials to Preocess Step 1 is also 15 minutes, and the time to move completed units from Process Step 4 to finished goods inventory is 15 minuts
The new just-in-time layout will allow the company to reduce the batch sizes from 60 to 5. The time required to move each batch between steps and the inventory locations will be reduced to 3 minutes. The time required to move each batch between steps will stay the same.
Determine the value-added, nonvalue-added, total lead times and the value added ratio under the present and proposed production approaches. Round whole percentages to two decimal places.
Calculate the following variances: Direct manufacturing labor rate variance, Direct manufacturing labor usage variance, Direct materials price variance (how we did it in the chat session), Direct materials usage variance
Compute Cholati's branch profits tax, and determine its branch interest withholding tax obligations. Assume that Cholati does not reside in a treaty country.
Create an argument for or against abolishing estate taxes. Recommend an alternative to the current federal taxation system that you believe would be fair to corporations and partnerships.
Some commentators have criticized the use of equity accounting on the basis that it can be used as a form of off balance sheet financing. Explain the reasoning behind the use of equity accounting and discus the comments.
Common stockholders are most concerned with the spread between the return generated onnew investments and the investors required rate of return
If the average market value of common share is $20, year end price is $25, interest rate on borrowings is 6%, and the tax rate is 50%, then compute both basic and diluted EPS
Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2007. Prepare the income tax expense section of the income statement for 2007, beginning with the line "Income before income taxes."
Recognized gains and losses must be properly classified. Proper classification depends on three characteristics, including the tax status of the property and the holding period of the property. What is the third characteristic?
Determine the company's predetermined overhead rate for year 2011. Assuming that the company's $57,000 ending Goods in Process Inventory account for year 2011 had $18,000 of direct labor costs, determine the inventory's direct materials costs.
Suppose that the nominal accounts are nto closed out at the end of the fiscal period. How does it affect accounting data for the next fiscal period?
Williamson Group operates a chain of bookstores. A recent business expansion plan resulted in the opening of more than 25 new stores. The Upland store has one more feature that the Stowe store does not have-a small coffe shop.
You've been asked to write down a memo explaining the process and address concerns by using citations from authoritative auditing literature.
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