Lean Accounting The annual budgeted conversion costs for a lean cell are $214,600 for 2,900 production hours. Each unit produced by the cell requires 18 minutes of cell process time. During the month, 1,510 units are manufactured in the cell. The estimated materials costs are $72 per unit. (Round the per unit cost to the nearest cent and use in subsequent computations. If required, round your answers to the nearest dollar.) Journalize the following entries for the month: a. Materials are purchased to produce 1,590 units. b. Conversion costs are applied to 1,510 units of production. c. The cell completes 1,430 units, which are placed into finished goods. w =n amniunt box does not require an entry, leave it blank. Westgate Inc. uses a lean manufacturing strategy to manufacture DVR (digital video recorder) players. The company manufactures DVR players through a single product cell. The budgeted conversion cost for the year is $600,000 for 2,000 production hours. Each unit requires 21 minutes of cell process time. During March, 500 DVR players were manufactured in the cell. The materials cost per unit is $60. The following summary transactions took place during March: 1. Materials were purchased for March production. 2. Conversion costs were applied to production. 3. 500 DVR players were assembled and placed in finished goods. 4. 480 DVR players were sold for $240 per unit. a. Determine the budgeted cell conversion cost per hour. per hour b. Determine the budgeted cell conversion cost per unit. per unit c. Journalize the summary transactions (1)-(4) for March. If an amount box does not require an entry, leave it blank. 1 a. Determine the budgeted cell conversion cost per hour. per hour b. Determine the budgeted cell conversion cost per unit. per unit 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 Lon Model lean cell. For the year, Com-Tel Inc. budgeted these costs for the Lion Model production cell: Com-Tel plans 2,000 hours of production for the Lion Model cell for the year. The materials cost is 541 per unit. Each assembly requires 20 minutes of cell assembly time. There was no May 1 inventory for either Raw and In Process Inyentory or Finished Goods Inventory. The following summary events took place in the Lon Model cell during May: a. Electronic parts were purchased to produce 6,800 Uon Model assemblies in May. b. Conversion costs were applied for 6,450 units of production in May. c. 6,320 units were completed and transferred to finished goods in May. d. 6,130 units were shipped to customers at a price of $192 per unit. If required, round your answers to the nearest cent. Required: 1. Determine the budgeted cell conversion cost per tyur. per hour 2. Determine the budgeted cell conversion cost per unit. per unit 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 and uses control. As a result, the number of transactions are . . In many lean operations, purchased materials are charged to a: - Direct labor is , Often, nonfinancial performance measuires, such as , are used to monitor performance
