Dashboard Inc. manutactures and assembles automobile instrument panels for both eCar Molors and Greenvile Motors. The process consists of a lean product cell for each customer's instrument assembly the data that follow concern only the eCar lean cell. For the year, Dashboard the. budgoted the lollowing costs for the ecar production cell: Dashboard inc, plans 2,600 hours of production for the eCar cell for the year, The materials cost is $150 per instrument assembly. Each assembily requires 15 minutes of cell assembly tre. There was no April 1 inventory for either Baw and in Process inventory or Finished Goods Inventory. The following summary events took place in the eCar cell during Apri: a. Electronic parts and wiring were purchased to produce 8,600 instrument assembles in Apri. b. Conversion costs were appled for the production of 8,600 units in April. c. 8,400 units were started, completed, and transtered to tinished goods in April. d. 6,340 unts were shipped to customers at a price of 5420 per unt. Required: 1. Determine the budgeted cell conversion cost per hour. 2. Determine the budgeted cell conversion cost per unit. If required, round your answer to the nearest whole dollar. 3. Journalize the summary transactions (a) through (d). Refer to the Chart of Accounts for exact wording of account titles. 4. Determine the ending balance in Raw and In Process Inventory and Finished Goods Inventory. 5. How does the accounting in a lean environment differ from traditional accounting? ASSETS 110 Cash 120 Accounts Receivable 125 Notes Receivable 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 150 Raw and In Process Inventory 151 Finished Goods Inventory 180 Land 190 Equipment 191 Accumulated Depreciation-Equipment LIABILITIES 210 Accounts Payable 216 Salaries Payable 218 Sales Tax Payable 219 Customers Refunds Payable 221 Notes Payable REVENUE 410 Sales EXPENSES 510 Cost of Goods Sold 511 Conversion Costs 521 Advertising Expense 523 Depreciation Expense-Equipment 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense EQUITY 31 Common Stock 32 Retained Earnings 1. Determine the budgeted cell conversion cost per hour. per hour Feedback Check My Work Budgeted Conversion CostProduction Hours = Conversion Rate 2. Determine the budgeted cell conversion cost per unit. If required, round your answer to the nearest whole dollar. per unit Feedback Check My Work (Cell Process Time/60 Minutes) * Conversion Rate from Req. 1 = Conversion Cost per unit 3. Joumalize the summary transactions for April 30 . Refor to the Chart of Accounts for exact wording of account nitles. Question not attempted. 4. Dotermine the ending bulance in Faw and in Process inventory and Finished Goods imventory. Raw and in Process inventory Finished Goods invertory Feodback Chock My Wock Set up a Traccount for Paw and in Process Imventory and Finished Goods inventory and post your entries from Rult. (3) to obtain the balances. 5. How dows the accounting in al lean envronment differ from tradtional accounting? Lean accounting is diffecent from tradnional accounting because it is more and uses conted. As a result, the number of transactions are In many lean operations purchased materials are charged to a "raw and in process inventory" account . Diect labor is frequently . Onen, nonfinancial performance measures, such as . , are used to monitor performance
