Brandon's Computer Shop Sells Most of Its Computers to a High-End

question 137

Essay

Brandon's computer shop sells most of its computers to a high-end customized online retailer and sales are steady at 400 per month. A single work cell produces the computers. To produce the computer, three operations are required. First the parts must be assembled, next software must be installed, and finally the computer must be safely packed and labeled for shipping. These operations take 1 hours, 3 hours, and 1 hour respectively. If there are 8 available work hours each day and the shop operates 20 days per month find the takt time.

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Definitions:

Wages Expense

Represents the total amount of wages and salaries that a company pays to its employees for a specific period.

Wages Payable

Represents the total amount of unpaid wages that a company owes to its employees at a given point in time.

Store Supplies Expense

The cost associated with materials and supplies consumed during the operation of a retail store, recognized as an expense in the company's financial statements.

Adjusting Entry

An accounting journal entry made at the end of an accounting period to allocate income and expenditures to the period in which they actually occurred.