Freezing the Master Schedule Is

question 62

Multiple Choice

Freezing the master schedule is:

• A)Not truly feasible because down the road it will become slushy again
• B)A commitment to precisely follow the master schedule in the future
• C)Done to avoid the chaos of expediting and resultant overdue orders
• D)Preserves the master schedule until it is ready to be used
• E)Rarely attempted by manufacturing firms

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Definitions:

Machine-Hours

A measure of the amount of time a machine is operated, used in allocating manufacturing costs based on machine usage.

Underapplied Overhead

A condition where the allocated manufacturing overhead costs are less than the actual overhead costs incurred.

Overapplied Overhead

A situation where the allocated manufacturing overhead cost exceeds the actual overhead incurred.

Direct Labor-Hours

Cumulative hours employees commit to the process of manufacturing.