You have run a capacity resource profile on your shop. Products have been routed sequentially through resources

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You have run a capacity resource profile on your shop. Products have been routed sequentially through resources A, B, C, and D. The capacity resource profile tells you that resource A is scheduled at 95% of capacity, resource B at 80% of capacity, resource C at 130% of capacity, and resource D at 100% of capacity. Assuming that the data we used to calculate the capacity resource profile was accurate, how would you employ the “drum, buffer rope” thinking?

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Cost Accounting A Managerial Emphasis

ISBN: 978-0133392883

6th Canadian edition

Authors: Horngren, Srikant Datar, George Foster, Madhav Rajan, Christ

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