The installation of a flexible manufacturing system allows firms to produce a variety of products in small

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The installation of a flexible manufacturing system allows firms to produce a variety of products in small batches.

Assume Johnson Steel, a metal fabricating company, is considering switching from a traditional assembly line production process to an FMS. Provide answers to the following questions.

a. How would the adoption of an FMS likely affect the inventory levels?

b. How would the adoption of an FMS likely affect the level of employment for production employees?

c. Would the adoption of an FMS require employees to be retrained? Explain.

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Cost Accounting Foundations and Evolutions

ISBN: 978-1111626822

8th Edition

Authors: Michael R. Kinney, Cecily A. Raiborn

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Question Posted: Jul 17, 2012 06:35 AM

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The installation of a flexible manufacturing system allows firms to produce a variety of products in small

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a The adoption of a FMS should reduce inventories of material work in process and finished goods Bec...View the full answer

Cost Accounting Foundations and Evolutions

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