Q$1.$ Is either activity$-$based costing $($ABC$)$ or Kenco$$s costing system preferable under GAAP? $(10$ marks$)$

Q$2.$ Kenco$$s organizational design borrows ideas from both lean management and the Theory of Constraints. Describe the unique characteristics of Kenco$$s design and accounting system that are inconsistent with the applications suggested by lean management or TOC. In particular discuss differences in approaching: cell design, value$-$ versus cost$-$based decisions, continuous improvement, customer focus, and accounting methods $(20$ marks$).$

Q$3$ How do Kenco$$s manufacturing and reporting systems support its key success factors $($key strategic components$)$ of product quality, on$-$time delivery, and cost? $(10$ marks$)$

Q$4.$ Describe Kenco$$s CI system; compare this to process change using traditional budgeting. $(20$ marks$)$

Q$5.$ How would cost$-$plus pricing change continuous improvement at Kenco? $(10$ marks$)$ Compare and explain fully the strategic and operational implications of cost$-$plus pricing versus Kenco$$s existing pricing approach. $(15$ marks$)$

Q$6.$ Compare how the strategy for lean manufacturing and Kenco$$s system lead to unique production and information systems. Include in your discussion the design characteristics underlying each approach, the information$/$accounting systems used to support the strategy, and decision effects. $(15$ marks$)$