Table $8.3$ A Company Uses a Kanban System $0.2$ Day the Processing Time for a Container of Part

question 71

Multiple Choice

Table $8.3$
A company uses a kanban system. The daily demand for part A is 4000 units. The average waiting time for a container of parts is $0.2$ day. The processing time for a container of part $A$ is $0.8$ day, and a container holds 300 units.
-Use the information in Table 8.3. How many kanban containers would be required if a 15 % efficiency factor is used?

• A) 10 or less
• B) 11 or 12
• C) 13 or 14
• D) 15 or more

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Definitions:

Impairment

A reduction in the recoverable value of an asset below its carrying amount on the balance sheet, leading to a write-down of its value.

Intangible Assets

Non-physical assets owned by a business that have a useful life, such as patents, trademarks, and copyrights.

Capitalised

Expenses or costs that are added to the cost basis of a fixed asset on a company's balance sheet, rather than being expensed immediately.

Extrusion System

A process used in manufacturing to create objects of a fixed cross-sectional profile by pushing material through a die of the desired cross-section.