Flint fabricators inc. machines metal parts for the automotive industry. under the traditional manufacturing approach, the parts are machined through two processes: milling and finishing. parts are produced in batch sizes of 30 parts. a part requires 5 minutes in milling and 7 minutes in finishing. the move time between the two operations for a complete batch is 5 minutes.

under the lean philosophy, the part is produced in a cell that includes both the milling and finishing operations. the operating time is unchanged; however, the batch size is reduced to 4 parts and the move time is eliminated.

determine the value-added, non-value-added, and total lead times, and the value-added ratio under the traditional and lean manufacturing methods. if required, round percentages to one decimal place.

traditional philosophy lean manufacturing philosophy
value-added time 12min 12min
non-value-added time min min
total lead time 365min 48min
value-added ratio (as a percent) % %

Dodd corporation uses the weighted-average method in its process costing system. this month, the beginning inventory in the first processing department consisted of 400 units. the costs and percentage completion of these units in beginning inventory were:

Ryan terlecki organized a new internet company, capuniverse, inc. the company specializes in baseball-type caps with logos printed on them. ryan, who is never without a cap, believes that his target market is college and high school students. you have been hired to record the transactions occurring in the first two weeks of operations. issued 2,900 shares of $0.01 par value common stock to investors for cash at $29 per share. borrowed $68,000 from the bank to provide additional funding to begin operations; the note is due in two years. paid $1,000 for the current month's rent of a warehouse and another $1,000 for next month's rent. paid $1,440 for a one-year fire insurance policy on the warehouse (recorded as a prepaid expense). purchased furniture and fixtures for the warehouse for $16,000, paying $3,200 cash and the rest on account. the amount is due within 30 days. purchased for $2,800 cash the university of pennsylvania, notre dame, the university of texas at austin, and michigan state university baseball caps as inventory to sell online. placed advertisements on google for a total of $340 cash. sold caps totaling $1,900, half of which was charged on account. the cost of the caps sold was $1,100. (hint: make two entries.) made full payment for the furniture and fixtures purchased on account in (e). received $280 from a customer on account.

Three pounds of material a are required for each unit produced. the company has a policy of maintaining a stock of material a on hand at the end of each quarter equal to 30% of the next quarter's production needs for material a. a total of 35,000 pounds of material a are on hand to start the year. budgeted purchases of material a for the second quarter would be: