President/CEO to her Controller: On the golf course yesterday I overheard John Jeffers, the CEO for Octal,

Fantastic news! We've Found the answer you've been seeking!

Question:

President/CEO to her Controller:

"On the golf course yesterday I overheard John Jeffers, the CEO for Octal, say that the problem with many manufacturing companies today is their antiquated manufacturing cost accounting systems. It appears to me that our cost accounting system has served us well as our company has grown and should continue to serve us well as we move into JIT production with our new flexible manufacturing system."

As the Controller, respond to the President/CEO.

Just In Time Inventory (JIT)

Just in time inventory systems were developed in Japan in the 80's. The major benefit is a drastic reduction in inventory holding costs. It is widely used globally today.

Posted Date: Sep 18, 2021 11:51 AM

See More Questions

Flexible manufacturing systems enable companies to respond quickly to emerging market trends and to easily accommodate product redesigns as technology changes. What is there in these advantages that...
As companies move toward decreasing inventory levels using JIT systems and seeking other ways to cut costs these trends will impact the number type and uses of warehouse facilities Pick an...
Our cat, Fred, has convinced me that I should set up an account that will assure him of his Meow Mix for the next 4 years. I will deposit an amount P today that will permit Fred to make...
Use a calculator to evaluate an ordinary annuity formula \[A=m\left[\frac{\left(1+\frac{r}{n}ight)^{n t}-1}{\frac{r}{n}}ight]\] for $m, r$, and $t$ (respectively) given in Problems 7-22. Assume...
Consider the following statements about solving dynamic programming problems. Label each statement as true or false, and then justify your answer by referring to specific statements in the chapter.
Distinguish between discretionary fixed costs and committed fixed costs.
If $10 \mathrm{~J}$ of magnetic potential energy is stored in a $5.0-\mathrm{H}$ inductor, what is the current in the inductor?
Refer to the DJIA data in Problem 5- 39. In Problem 5-39, The following table provides the Dow Jones Industrial Average (DJIA) opening index value on the first working day of 19942013: Develop a...
A 45-year-old man presents to the Emergency Department with a fever, widespread rash, and confusion. His only past history of note was Sydenham's chorea and a number of recent dental extractions....
What is each shareholder's realized gain or loss? b. What is each shareholder's recognized gain or loss? c. What is each shareholder's basis in their stock? When does their holding period begin? d....
A CCTV project for a company commenced on January 2018 and was expected to be complete by December 2018. A review done in October 2018 revealed the following information. Budgeted Cost for Work...
Determine the reactions and all bar forces for the truss in Figure P9.36. Given: $E=200 \mathrm{GPa}$ and $A=$ $1000 \mathrm{~mm}^{2}$ for all bars. 40 KN 6 m- 80 KN D 3 E 4 m
Are the Covid relief checks discretionary fiscal stimulus or automatic fiscal stimulus? People are expressing deep disappointment with the $600 Covid relief checks approved by Congress. The help is...
In an economy with a fixed price level, autonomous spending is $20 trillion and the slope of the AE curve is 0.6. a. What is the equation of the AE curve? b. Calculate equilibrium expenditure. What...
Goldstein rented an apartment from Dunbar as a tenant at will. She paid her rent on time and took good care of the premises; she was never disorderly. Dunbar decided to evict Goldstein and rent the...
Explain for each event whether it changes Chinas short-run aggregate supply, long-run aggregate supply, aggregate demand, or some combination of them. The following events were reported in the East...
A person borrows $100,000 at a simple interest rate r = 24%. He is to repay the loan with 2 payments, one at the end of 2 months and the other at the end of 6 months. The first payment is the same as...
Uniform electric field in Figure a uniform electric field is directed out of the page within a circular region of radius R = 3.00 cm. The magnitude of the electric field is given by E = (4.50 x 10-3...
In 2022, Mark purchased two separate activities. Information regarding these activities for 2022 and 2023 is as follows: The 2022 losses were suspended losses for that year. During 2023, Mark also...
Jerry sprayed all of the landscaping around his business with a pesticide in June 2023. Shortly thereafter, all of the trees and shrubs unaccountably died. The FMV and the adjusted basis of the...
In 2023, Julie, a single individual, reported the following items of income and deduction: Julie owns 100% and is an active participant in the rental real estate activity. What is her taxable income...

President/CEO to her Controller: On the golf course yesterday I overheard John Jeffers, the CEO for Octal,

Question:

Expert Answer:

As Controller I would respond that the existing cost accounting system was developed to support both ... View the full answer

Students also viewed these accounting questions