Answer Happy

Lean Accounting
Com-Tel Inc. manufactures and assembles two models of
smartphones—the Tiger Model and the Lion Model.
The process consists of a lean cell for each product. The
data that follow concern only the Lion Model lean cell.
For the year, Com-Tel Inc. budgeted these costs for the Lion
Model production cell:
Com-Tel plans 1,800 hours of production for the Lion Model cell
for the year. The materials cost is $51 per unit. Each assembly
requires 18 minutes of cell assembly time. There was no May 1
inventory for either Raw and In Process Inventory or
Finished Goods Inventory.
The following summary events took place in the Lion Model cell
during May:
If required, round your answers to the nearest cent.
Required:
Question Content Area
1. Determine the budgeted
cell conversion cost per hour.
$fill in the blank 2b953efc8fa302b_1 per hour
2. Determine the budgeted cell conversion
cost per unit.
$fill in the blank 2b953efc8fa302b_2 per unit
Question Content Area
3. Journalize the summary transactions
(a) through (d). If an amount box does not require an entry, leave
it blank.
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts PayableConversion CostsCost of Goods SoldFinished Goods
InventoryRaw and In Process Inventory
Accounts ReceivableConversion CostsCost of Goods SoldFinished
Goods InventorySales
Accounts ReceivableConversion CostsCost of Goods SoldFinished
Goods InventorySales
Accounts ReceivableConversion CostsCost of Goods SoldFinished
Goods InventorySales
Accounts ReceivableConversion CostsCost of Goods SoldFinished
Goods InventorySales
Question Content Area
4. Determine the ending balance in Raw
and In Process Inventory and Finished Goods Inventory.
5. Lean accounting is different from
traditional accounting because it is more
complexsimplified
and uses
maximumminimal
control. As a result, the number of transactions
are
increasedreduced
. In many lean operations, purchased materials are charged to
a
"raw and in process inventory" account"materials and indirect
labor" account
. Direct labor is
included as a conversion cost of the celldisregarded in the cost
allocation process
. Often, nonfinancial performance measures, such as
lead time or quality measures over and under production
rates
, are used to monitor performance.