ACCT/640 ACCT640 ACCT 640 WEEK 6 CHAPTER 12 HOMEWORK
- Davenport University / ACCT 640
- 28 Aug 2017
- Price: $5
- Other / Other
ACCT 640 WEEK 6 CHAPTER 12 HOMEWORK
Chapter 12 Homework
1.
Lipex, Ltd., of Birmingham, England, is interested in cutting the amount of time between when a customer places an order and when the order is completed. For the first quarter of the year, the following data were reported:
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Required: |
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1. |
Compute the throughput time. |
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Compute the manufacturing cycle efficiency (MCE) for the quarter. (Round your answer to 2 decimal places.) |
ANS.
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What percentage of the throughput time was spent in non-value-added activities? |
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Compute the delivery cycle time. |
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If by using Lean Production all queue time can be eliminated in production, what will be the new MCE? (Round your answer to 2 decimal places.)
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2.
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Compute the company's margin, turnover and return on investment (ROI). (Do not round intermediate calculations. Round your answers to 2 decimal places.) |
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ANS. |
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3.
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The entrepreneur who founded the company is convinced that sales will increase next year by 150% and that net operating income will increase by 400%, with no increase in average operating assets. What would be the company’s margin, turnover and ROI? (Do not round intermediate calculations. Round your answers to 2 decimal places.) |
ANS.
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4.
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The Chief Financial Officer of the company believes a more realistic scenario would be a $2 million increase in sales, requiring an $800,000 increase in average operating assets, with a resulting $250,000 increase in net operating income. What would be the company’s margin, turnover and ROI in this scenario? (Do not round intermediate calculations. Round your answers to 2 decimal places.) |
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ANS. |
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5.
Tundra Services Company, a division of a major oil company, provides various services to the operators of the North Slope oil field in Alaska. Data concerning the most recent year appear below:
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Compute the margin for Tundra Services Company. |
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Compute the turnover for Tundra Services Company. (Round your answer to 1 decimal place. ANS. |
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3. Compute the return on investment (ROI) for Tundra Services Company. (Do not round intermediate calculations.)
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