Solved

Falcon Enterprises,which Manufactures Lawn Mowers,recently Installed a Just-In-Time Purchasing System

Question 90

Essay

Falcon Enterprises,which manufactures lawn mowers,recently installed a just-in-time purchasing system and an activity-based management program.
Required:
A.Determine whether the following items would be apt to increase or decrease as a result of the just-in-time system:
1.Inventory storage costs.
2.Number of suppliers used.
3.Number of raw material shipments handled.
4.Dollars available for alternative investment opportunities.
5.Quality of raw materials purchased.
B.Identify the following items as value-added activities,non-value-added activities,or both.
1.Attaching the engine to the mower's body.
2.Installing a new air-conditioning system in the executive offices.
3.Replacing a defective wheel with a new wheel.
4.Designing and printing an owner's instruction manual for a new model.
5.Moving completed mowers to the finished-goods warehouse.
6.Attaching the handle to the mower's body.The process took longer than normal because of a worker slowdown caused by disgruntled employees.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents