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Author Question: The Controller of Nip-it-in-the-Bud Inc. has studied the possibility of implementing a JIT ... (Read 206 times)

a0266361136

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on: Mar 6, 2021

Question 1

The demand-pull feature of JIT production systems results in close coordination among workstations and smooths the flow of goods.
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Question 2

The Controller of Nip-it-in-the-Bud Inc. has studied the possibility of implementing a JIT production system.  The annual incremental retooling costs of the JIT system is projected to be about $67,000 however, the new system will lower insurance costs by $10,000 and storage costs will drop by $20,000 a year as the company will be able to reuse warehouse space for other strategic purposes.  In addition, material handling costs will drop by $10,000 a year and because of a resulting increase in quality and faster delivery, the company's contribution margin on the product will increase by $2.00 on annual sales of 20,000 units.  
Required: 
Calculate the net incremental benefit of the JIT system implementation.
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by a0266361136 on Mar 6, 2021

AISCAMPING

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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a0266361136

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)

connor417

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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