Problem 10-29A (Algo) Using JIT to minimize waste and lost opportunity LO 1.5 CIA Revewdinc proyldes reverw courses twice each year for students studying to take the ClA exam. The cost of texthooks is included in the fegistration fee. Text material requires constant updating and is useful for only one course To minimize printing costs and ensure aval ablifty of books on therirst day of class, ClA Review has books printed and delivered to its offices two weeks in adivance of the first class. To ensure that enough books are avallable. CIA Review normatly orders 10 percent more than expected enroliment, Usually there is an oversupply and books ore thrown away. However, demand occasionally exceeds expectations by more than 10 percentand there are too few books avallable for student use ClA Review has been forced to turn away studients because of a lack ot textbooks. CIA Review expects to enroll approximately 200 students pencourse. The fuition fee is 5850 perstudent. The cost of teachers is $21,500 per course, rextbooks cost $54 each and other operating expenses are estimated to be $29.500 per course. Assume oll financial statements data are prepared in accordance with GAAP Required a. Prepaie an incomestatement assuming that 200 students enroll in a course. Determine the cost of waste associated with unused b-1. Prepas an income statement assuming that 242 students attempt to envoll in the courte but 22 stodeati are tumed away beciuse of too few textbooks b-3. Detetenine the amount oflost profit tesulting ficm the inability to setve the 22 additional atudente. o. Hrepare an income statement, assuming that 200 stucents enroil in a course. vetermine the cost or waste associated with unused books. b-1. Prepare an income statement, assuming that 242 students attempt to enroll in the course, but 22 students are turned away because of too few textbooks. b-2. Prepare an income statement, assuming that 242 students attempt to enroll in the course, with all being accepted. b-3. Determine the amount of lost profit resulting from the inability to serve the 22 additional students. c. Suppose that textbooks can be produced through a high-speed copying process that permits delivery just in time for class to start. The cost of books made using this process, however, is $59 each. Assume that all books must be made using the same production process. In other words, ClA Review cannot order some of the books using the regular copy process and the rest using the high-speed process. Prepare an income statement under the JiT system assuming that 200 students enroll in a course. d-1. Assume the same facts as in requirement c with respect to a JIT system that enables immediate delivery of books at a cost of $59 each. Prepare an income statement under the JIT system, assuming that 242 students enroll in a course d.2. Which system results in higher income? Complete this question by entering your answer in the tabs below. Prepare an income statement, astuming that 200 studeots enfoll in a course Determine the cost of waste dssociated with. unined books. \begin{tabular}{|l|l|l|l|} \hline \multicolumn{1}{|c|}{ CIA REVIEW, INC. } \\ \hline \multicolumn{1}{|c|}{ Income Statement } \\ \hline Revenue & & & \\ \hline Expenses & Cost of teachers \\ \hline Cost of textbooks & & & \\ \hline Other operating expenses & & \\ \hline Total expenses & & \\ \hline Net income & & \\ \hline Cost of waste associated with unused books & & \\ \hline \end{tabular} Prepare an income statement, assuming that 242 students attempt to enroll in the co because of too few textbooks. Prepare an income statement, assuming that 242 students attempt to enroll in the cot Complete this question by entering your answer in the tabs below. Determine the amount of lost profit resulting from the inability to serve the 22 additional st Suppose that textbooks can be produced through a high-speed copying process start. The cost of books made using this process, however, is $59 each. Assume production process. In other words, CIA Review cannot order some of the books using the high-speed process. Prepare an income statement under the JIT syste course. Assume the same facts as in requirement c with respect to a JIT system that enables imm $59 each. Prepare an income statement under the JIT system, assuming that 242 student