COST ACCOUNTING
16th Edition
ISBN: 9781323169261
Author: Horngren
Publisher: PEARSON C
expand_more
expand_more
format_list_bulleted
Concept explainers
Textbook Question
Chapter 19, Problem 19.25E
Waiting time, service industry. The registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, first-served basis.
- 1. Using the formula on page 762, calculate how long the average student will have to wait in the advisor’s office before being advised.
Required
- 2. The head of the registration advisors would like to increase the number of students seen each day because at 300 students a day it would take 14 working days to see all of the students. This is a problem because the registration period lasts for only 2 weeks (10 working days). If the advisors could advise 420 students a day, it would take only 2 weeks (10 days). However, the head advisor wants to make sure that the waiting time is not excessive. What would be the average waiting time if 420 students were seen each day?
- 3. SMU wants to know the effect of reducing the average advising time on the average wait time. If SMU can reduce the average advising time to 10 minutes, what would be the average waiting time if 420 students were seen each day?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
The registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis.
Q. The head of the registration advisors would like to increase the number of students seen each day because at 300 students a day it would take 14 working days to see all of the students. This is a problem because the registration period lasts for only 2 weeks (10 working days). If the advisors could advise 420 students a day, it would take only 2 weeks (10 days). However, the head advisor wants to make sure that the waiting time is not excessive. What would be the average waiting time if 420…
The registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis.
The head of the registration advisors at SMU has decided that the advisors must finish their advising in 2 weeks (10 working days) and therefore must advise 420 students a day. However, the average waiting time given a 12-minute advising period will result in student complaints, as will reducing the average advising time to 10 minutes. SMU is considering two alternatives:
a. Hire two more advisors for the 2-week (10-working day) advising period. This will increase the available number of…
The registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis.
The head of the registration advisors at SMU has decided that the advisors must finish their advising in 2 weeks (10 working days) and therefore must advise 420 students a day. However, the average waiting time given a 12-minute advising period will result in student complaints, as will reducing the average advising time to 10 minutes. SMU is considering two alternatives:
a. Hire two more advisors for the 2-week (10-working day) advising period. This will increase the available number of…
Chapter 19 Solutions
COST ACCOUNTING
Ch. 19 - Describe two benefits of improving quality.Ch. 19 - Prob. 19.2QCh. 19 - Name two items classified as prevention costs.Ch. 19 - Give two examples of appraisal costs.Ch. 19 - Distinguish between internal failure costs and...Ch. 19 - Describe three methods that companies use to...Ch. 19 - Companies should focus on financial measures of...Ch. 19 - Give two examples of nonfinancial measures of...Ch. 19 - Give two examples of nonfinancial measures of...Ch. 19 - When evaluating alternative ways to improve...
Ch. 19 - Distinguish between customer-response time and...Ch. 19 - Prob. 19.12QCh. 19 - Give two reasons why delays occur.Ch. 19 - Companies should always make and sell all products...Ch. 19 - Prob. 19.15QCh. 19 - Rector Corporation is examining its quality...Ch. 19 - Six Sigma is a continuous quality improvement...Ch. 19 - Costs of quality. (CMA, adapted) Osborn, Inc.,...Ch. 19 - Costs of quality analysis. Adirondack Company...Ch. 19 - Costs-of-quality analysis. Safe Travel produces...Ch. 19 - Costs of quality, quality improvement. iCover...Ch. 19 - Prob. 19.22ECh. 19 - Prob. 19.23ECh. 19 - Waiting time. Its a Dogs World (IDW) makes toys...Ch. 19 - Waiting time, service industry. The registration...Ch. 19 - Waiting time, cost considerations, customer...Ch. 19 - Nonfinancial measures of quality and time. For the...Ch. 19 - Nonfinancial measures of quality, manufacturing...Ch. 19 - Statistical quality control. Harvest Cereals...Ch. 19 - Quality improvement, Pareto diagram,...Ch. 19 - Quality improvement, relevant costs, and relevant...Ch. 19 - Quality improvement, relevant costs, and relevant...Ch. 19 - Waiting times, manufacturing cycle times. The...Ch. 19 - Prob. 19.34PCh. 19 - Manufacturing cycle times, relevant revenues, and...Ch. 19 - Compensation linked with profitability, waiting...Ch. 19 - Ethics and quality. Weston Corporation...Ch. 19 - Prob. 19.38P
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- The registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis. The head of the registration advisors at SMU has decided that the advisors must finish their advising in 2 weeks (10 working days) and therefore must advise 420 students a day. However, the average waiting time given a 12-minute advising period will result in student complaints, as will reducing the average advising time to 10 minutes. SMU is considering two alternatives: a. Hire two more advisors for the 2-week (10-working day) advising period. This will increase the available number of…arrow_forwardThe registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis. Q. SMU wants to know the effect of reducing the average advising time on the average wait time. If SMU can reduce the average advising time to 10 minutes, what would be the average waiting time if 420 students were seen each day?arrow_forwardThe registration advisors at a small Midwestern university (SMU) help 4,200 students develop their class schedules and register for classes each semester. Each advisor works for 10 hours a day during the registration period. SMU currently has 10 advisors. While advising an individual student can take anywhere from 2 to 30 minutes, it takes an average of 12 minutes per student. During the registration period, the 10 advisors see an average of 300 students a day on a first-come, firstserved basis. Q. calculate how long the average student will have to wait in the advisor’s office before being advised.arrow_forward
- During each year, CSL Computer Company needs to train 27 service representatives. It costs $12,000 to run a training program, regardless of the number of students being trained. Service reps earn a monthly salaryof $1500, so CSL does not want to train them before they are needed. Each training session takes one month. a. State the assumptions needed for the EOQ model to be applicable. b. How many service reps should be in each training group? c. How many training programs should CSL undertake each year? d. How many trained service reps will be available when each training program begins?arrow_forwardACE Math Academy provides math help for high school students. The organizations believes a small group learning environment allows students to become more comfortable in asking questions while being able to learn from other students. As a result, each instructor is expected to have a class of six students and each session is two hours long. There are four instructors and they are each being paid $35 per hour. Each session is expected to cost $30 for the student. For the month of June, the company expects 120 sessions. By the end of the month the company noticed everything has met expectations expect the following Instructors were being paid at $40 per hour There were a total of 100 sessions in the month students paid 34 per session A) Calculate the selling price variance for the month. B) Calculate the rate and efficiency variance per hour for direct labor C) Calculate the total direct labor flexible budget variancearrow_forwardTech has a student population of 30,000 and is located in a small college town in Virginia. DirectCast Cable TV has a small service staff or three installation trucks and technicians that is sufficient to handle service calls and installations for almost the entire year. However, for the month-long period right before and during the beginning of fall semester in August, when all the students return, the cable TV service is overwhelmed. During the normal year DirectCast averages about 15 service requests per day (Poisson distributed), and service calls average about 50 minutes (exponentially distributed) during their 8-hour workday. However, during the month before school starts, the demand for service calls triples, and almost all of these are requests for installations, so the average service time increases to 80 minutes. During normal demand periods, DirectCast guarantees service within a 24-hour period. as an alternative to borrowing trucks and crews from other offices (which can be…arrow_forward
- You run a software development business where customers require immediate technical support. You plan to target 1,092 users this month of which 12.22% will convert and become customers. Each customer will require about 48 minutes of phone support per month from the first month. You plan to recruit the support staff on an hourly basis for $27.7 per hour plus 21.3% in benefits. For every 30 minutes of phone support, each support staff will be entitled to another 15 minutes of administrative and email/messaging support time. How much is the monthly support expense for the customers targeted this month assuming no churn? Options: $5,380 $5,515 $5,649 $5,784 $5,918arrow_forwardCIA Review, Incorporated, provides review courses twice each year for students studying to take the CIA exam. The cost of textbooks Is Included in the registration fee. Text material requires constant updating and is useful for only one course. To minimize printing costs and ensure availability of books on the first day of class, CIA Review has books printed and delivered to its offices two weeks in advance of the first class. To ensure that enough books are available, CIA Review normally orders 10 percent more than expected enrollment. Usually there is an oversupply and books are thrown away. However, demand occasionally exceeds expectations by more than 10 percent and there are too few books available for student use. CIA Review has been forced to turn away students because of a lack of textbooks. CIA Review expects to enroll approximately 400 students per course. The tuition fee is $2,500 per student. The cost of teachers is $45,000 per course, textbooks cost $180 each, and other…arrow_forwardCIA Review, Incorporated, provides review courses twice each year for students studying to take the CIA exam. The cost of textbooks Is Included in the registration fee. Text material requires constant updating and is useful for only one course. To minimize printing costs and ensure availability of books on the first day of class, CIA Review has books printed and delivered to its offices two weeks in advance of the first class. To ensure that enough books are available, CIA Review normally orders 10 percent more than expected enrollment. Usually there is an oversupply and books are thrown away. However, demand occasionally exceeds expectations by more than 10 percent and there are too few books available for student use. CIA Review has been forced to turn away students because of a lack of textbooks. CIA Review expects to enroll approximately 400 students per course. The tuition fee is $2,500 per student. The cost of teachers is $45,000 per course, textbooks cost $180 each, and other…arrow_forward
- A University produces two courses for its Management students this year. MATA32 and MATA33. Each student taking MATA32 requires 6 hours of teaching, 2 hours of adminis- tration, with a revenue of $1300. Each student taking MATA33 requires 7 hours of teaching, 1 hour of administration with a revenue of $1700. Due to the University's resources, there is a maximum of 2010 teaching hours and 150 administration hours. The University must also admit at least 30 MATA32 and at least 30 MATA33 students due to government regulation. What is the maximum revenue? (A) 90000 (B) 129000 (C) 188000 (D) 192500 (E) None of the abovearrow_forwardCIA Review, Inc. provides review courses twice each year for students studying to take the CIA exam. The cost of textbooks is included in the registration fee. Text material requires constant updating and is useful for only one course. To minimize printing costs and ensure the availability of books on the first day of class, CIA Review has books printed and delivered to its offices two weeks in advance of the first class. To ensure that enough books are available, CIA Review normally orders 10 percent more than expected enrollment. Usually, there is an oversupply, and books are thrown away. However, demand occasionally exceeds expectations by more than 10 percent and there are too few books available for student use CIA Review has been forced to turn away students because of a lack of textbooks. CIA Review expects to enroll approximately 200 students per course. The tuition fee is $810 per student. The cost of teachers is $22,000 per course, textbooks cost $59 each, and other operating…arrow_forwardCIA Review, Inc. provides review courses twice each year for students studying to take the CIA exam. The cost of textbooks is included in the registration fee. Text material requires constant updating and is useful for only one course. To minimize printing costs and ensure availability of books on the first day of class, CIA Review has books printed and delivered to its offices two weeks in advance of the first class. To ensure that enough books are available, CIA Review normally orders 10 percent more than expected enrollment. Usually there is an oversupply and books are thrown away. However, demand occasionally exceeds expectations by more than 10 percent and there are too few books available for student use. CIA Review has been forced to turn away students because of a lack of textbooks. CIA Review expects to enroll approximately 200 students per course. The tuition fee is $2,000 per student. The cost of teachers is $50,000 per course, textbooks cost $150 each, and other operating…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Cornerstones of Cost Management (Cornerstones Ser...AccountingISBN:9781305970663Author:Don R. Hansen, Maryanne M. MowenPublisher:Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser...
Accounting
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Cengage Learning
What is variance analysis?; Author: Corporate finance institute;https://www.youtube.com/watch?v=SMTa1lZu7Qw;License: Standard YouTube License, CC-BY