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Problem 1-1A (Video) BALK NEXT Ohno Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and
Problem 1-1A (Video) BALK NEXT Ohno Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and the company has enough orders to keep the factory production at 10,000 helmets per month (80% of its full capacity). Ohno's monthly manufacturing cost and other expense data are as follows. Rent on factory equipment Insurance on factory building Raw materials (plastics, polystyrene, etc.) Utility costs for factory Supplies for general office Wages for assembly line workers Depreciation on office equipment Miscellaneous materials (glue, thread, etc.). Factory manager's salary Property taxes on factory building Advertising for helmets Sales commissions Depreciation on factory building $11,100 2,500 77,400 900 400 62,300 900 1,400 6,100 400 14,400 10,600 1,700
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