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What Is the total landed cost based on this table?
The costs provided in the table below are associated with buying a quantity larger than immediately needed. What Is the total landed cost based on this table? Cost CategoryCost Custom fees$125 Freight$700 Warehouse rent$200 Matenal cost$500A . $825B . $1,325C . $1,400D . $1,525View AnswerAnswer: D Explanation: The total landed...
When designing a production cell, which of the following items would be the most important consideration?
When designing a production cell, which of the following items would be the most important consideration?A . Theunit per hour requirement for the production cell to meet the sales forecastB . Theflow of materials into the cell and sequencing of operations to minimize total cycle timeC . Theoutput rate for...
If fixed costs are §200,000 and 20,000 units are produced, a unit's fixed cost is §10. This is an example of:
If fixed costs are §200,000 and 20,000 units are produced, a unit's fixed cost is §10. This is an example of:A . variable costing.B . activity-based costing (ABC).C . absorption costing.D . overhead costing.View AnswerAnswer: C Explanation: Absorption costing is a method of allocating all manufacturing costs to the units...
Which of the following remains constant while maintaining the same customer service level?
The demand for an item has increasing forecast error, whereas all other factors remain constant. Which of the following remains constant while maintaining the same customer service level?A . Reorder point(ROP)B . Safety stockC . Inventory investmentD . Safety factorView AnswerAnswer: D Explanation: Safety factor is a multiplier that is...
In a lean environment, the batch-size decision for planning "A" items would be done by:
In a lean environment, the batch-size decision for planning "A" items would be done by:A . least total cost.B . min-max system.C . lot-for-lot (L4L).D . periodic order quantity.View AnswerAnswer: C Explanation: In a lean environment, the batch-size decision for planning “A” items would be done by lot-for-lot (L4L). L4L...
Given the information above, what is the weekly theoretical capacity of this work area in hours?
Labor3 people Work hours10 hours per day Days4 days per week Meetings with work area employees1/2 hour per day Work area efficiency85% Given the information above, what is the weekly theoretical capacity of this work area in hours?A . 97B . 102C . 114D . 120View AnswerAnswer: D Explanation: The...
What priority control technique is most appropriate for a firm using a cellular production system?
What priority control technique is most appropriate for a firm using a cellular production system?A . Shortest processing time (SPT) ruleB . Distribution requirements planning (DRP)C . Pull production activity control (PAC)D . Push production activity control (PAC)View AnswerAnswer: C Explanation: A cellular production system is a type of lean...
Which of the following production activity control (PAC) techniques focuses on optimizing output?
Which of the following production activity control (PAC) techniques focuses on optimizing output?A . Gantt chartB . Priority sequencing rulesC . Theory of constraints (TOC) schedulingD . Critical path management (CPM)View AnswerAnswer: C Explanation: Theory of constraints (TOC) scheduling is a PAC technique that focuses on optimizing output by identifying...
Which of the following stock location systems would you use in a repetitive manufacturing, lean environment?
Which of the following stock location systems would you use in a repetitive manufacturing, lean environment?A . Fixed locationB . Floating locationC . Point-of-use storageD . Central storageView AnswerAnswer: C Explanation: Point-of-use storage is a stock location system that places inventory close to where it is needed or consumed in...
How would a master production schedule (MPS) be used In an assemble-to-order (ATO) manufacturing environment?
How would a master production schedule (MPS) be used In an assemble-to-order (ATO) manufacturing environment?A . The MPS is used to plan subassemblies and components; end items are only scheduled when a customer order is received.B . Subassemblies are scheduled in the MPS when the customer order is received, and...
