Chapter D, Problem 3P

To determine

Concept Introduction:

Process costing system:

Process costing systems is a system to assign the costs where the production goes through different processes. A product may take several processes to complete and when these processes are separable, the process costing system is applied to ascertain the cost of each process.

Requirement-1:

To Calculate:

The total amount of non value added time under the traditional process

To determine

Concept Introduction:

Process costing system:

Process costing systems is a system to assign the costs where the production goes through different processes. A product may take several processes to complete and when these processes are separable, the process costing system is applied to ascertain the cost of each process.

Requirement-2:

To Calculate:

Cycle efficiency under the traditional process

To determine

Concept Introduction:

Process costing system:

Process costing systems is a system to assign the costs where the production goes through different processes. A product may take several processes to complete and when these processes are separable, the process costing system is applied to ascertain the cost of each process.

Requirement-3:

To Calculate:

The total amount of non value added time under the Lean process

To determine

Concept Introduction:

Process costing system:

Process costing systems is a system to assign the costs where the production goes through different processes. A product may take several processes to complete and when these processes are separable, the process costing system is applied to ascertain the cost of each process.

Requirement-4:

To Calculate:

Cycle efficiency under the Lean process

To determine

Concept Introduction:

Process costing system:

Process costing systems is a system to assign the costs where the production goes through different processes. A product may take several processes to complete and when these processes are separable, the process costing system is applied to ascertain the cost of each process.

Requirement-5:

To Indicate:

If the proposed lean process will improve the cycle efficiency