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Financial & Managerial Accounting

14th Edition
Carl Warren + 2 others
Publisher: Cengage Learning
ISBN: 9781337119207

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BuyFindarrow_forward

Financial & Managerial Accounting

14th Edition
Carl Warren + 2 others
Publisher: Cengage Learning
ISBN: 9781337119207
Chapter 26, Problem 5DQ
Textbook Problem
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Why do lean manufacturers favor pull or “make to order” manufacturing?

To determine

Lean Manufacturing: Lean manufacturing aims at reducing the cost and minimizing the waste involved in the production, in order to optimize the value for the product or the service.

To Explain: The reasons to prefer make to order.

Explanation of Solution

Make to Order: Make to order is a strategy where the goods are produced after the order for the goods are placed. It is also known as Pull manufacturing as the demand for the product pulls the supply or the creation of the product.

The reasons to prefer this strategy are as follows:

  • Make to order assists in making the required quantity of products, hence reduce the socking cost...

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Chapter 26 Solutions

Financial & Managerial Accounting
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Ch. 26 - How does a Pareto chart assist management?Ch. 26 - What is the benefit of identifying non-value-added...Ch. 26 - In what ways can the cost of a process be...Ch. 26 - Lead time Rough Riders Inc. manufactures jeans in...Ch. 26 - Lean features Which of the following are features...Ch. 26 - Lean accounting The annual budgeted conversion...Ch. 26 - Cost of quality report A quality control activity...Ch. 26 - Process activity analysis Roen Company incurred an...Ch. 26 - Lean principles The chief executive officer (CEO)...Ch. 26 - Lean as a strategy The American textile industry...Ch. 26 - Lean principles Active Apparel Company...Ch. 26 - Lead time analysis Palm Pals Inc. manufactures toy...Ch. 26 - Reduce setup time Hammond Inc. has analyzed the...Ch. 26 - Calculate lead time Flint Fabricators Int....Ch. 26 - Calculate lead time Williams Optical Inc. is...Ch. 26 - Suppy chain management The following is an excerpt...Ch. 26 - Employee involvement Quickie Designs Inc. uses...Ch. 26 - Lean principles for a restaurant The management of...Ch. 26 - Accounting issues in a lean environment Pinnacle...Ch. 26 - Lean accounting Westgate Inc. uses a lean...Ch. 26 - Lean accounting Modern Lighting Inc. manufactures...Ch. 26 - Lean accounting Vintage Audio Inc. manufactures...Ch. 26 - Pareto chart Meagher Solutions Inc. manufacture....Ch. 26 - Cost of quality report A. Using the information in...Ch. 26 - Pareto chart for a service company Three Rivers...Ch. 26 - Cost of quality and value-added/non-value-added...Ch. 26 - Process activity analysis The Brite Beverage...Ch. 26 - Process activity analysis for a service company...Ch. 26 - Process activity analysis The procurement process...Ch. 26 - Lean principles Soft Glow, Inc. manufactures light...Ch. 26 - Lead time Sound Tek Inc. manufactures electronic...Ch. 26 - Lean accounting Dashboard Inc. manufactures and...Ch. 26 - Pareto chart and cost of quality report for a...Ch. 26 - Lean principles HD Hogg Motorcycle Company...Ch. 26 - Lead time Master Chef Appliance Company...Ch. 26 - Lean accounting Com-Tel Inc. manufactures and...Ch. 26 - Pareto chart and cost of quality report for a...Ch. 26 - Lead time reduction for an insurance company...Ch. 26 - Turn around time in an operating room of a...Ch. 26 - Lead time in a doctors office Marcus Simmons...Ch. 26 - Ethics in Action In August, Lannister Company...Ch. 26 - Communication Ethan Fromme, the Chief Financial...

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