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Prior to Installing a JIT System, Clark Company Used Machine

Question 88

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Prior to installing a JIT system, Clark Company used machine hours to assign maintenance costs to its three products of 4-inch, 6-inch, and 9-inch insulation.The maintenance costs totaled $400,000 per year.The machine hours used by each product and the quantity produced of each product are as follows: Prior to installing a JIT system, Clark Company used machine hours to assign maintenance costs to its three products of 4-inch, 6-inch, and 9-inch insulation.The maintenance costs totaled $400,000 per year.The machine hours used by each product and the quantity produced of each product are as follows: After installing JIT, three manufacturing cells were created and the cell workers were trained to perform maintenance.Maintenance costs for the three cells still totaled $400,000; however, these costs are now traceable to each cell. -After installing JIT, the maintenance cost per roll of 9-inch insulation would be A) $15.00. B) $12.86. C) $12.50. D) $5.86. After installing JIT, three manufacturing cells were created and the cell workers were trained to perform maintenance.Maintenance costs for the three cells still totaled $400,000; however, these costs are now traceable to each cell.
Prior to installing a JIT system, Clark Company used machine hours to assign maintenance costs to its three products of 4-inch, 6-inch, and 9-inch insulation.The maintenance costs totaled $400,000 per year.The machine hours used by each product and the quantity produced of each product are as follows: After installing JIT, three manufacturing cells were created and the cell workers were trained to perform maintenance.Maintenance costs for the three cells still totaled $400,000; however, these costs are now traceable to each cell. -After installing JIT, the maintenance cost per roll of 9-inch insulation would be A) $15.00. B) $12.86. C) $12.50. D) $5.86.
-After installing JIT, the maintenance cost per roll of 9-inch insulation would be


A) $15.00.
B) $12.86.
C) $12.50.
D) $5.86.

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