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Lean Accounting Is a Set of Accounting Principles and Methods

Question 101

Matching

Lean accounting is a set of accounting principles and methods to support lean business practice and motivate continuous improvement. In a lean accounting system, several performance measures are used to control operations. Match each description of the business performance measures with their corresponding business performance measure. Each numbered item has only one correct answer. Each lettered item may be used only once.

Premises:
Current work-in-process inventory divided by standard work-in-process inventory
Number of units demanded per hour compared to number of units produced
A product of availability rate, times efficiency rate, times quality rate
Time available divided by units
Total good units produced divided by total units produced
Responses:
Operational equipment effectiveness (OEE)
First time through (FTT)
Takt time
Day-by-the-hour
WIP to SWIP

Correct Answer:

Current work-in-process inventory divided by standard work-in-process inventory
Number of units demanded per hour compared to number of units produced
A product of availability rate, times efficiency rate, times quality rate
Time available divided by units
Total good units produced divided by total units produced
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