You Have Been Called in as a Consultant to Set

question 79

Multiple Choice

You have been called in as a consultant to set up a Kanban control system. The first thing to do is to determine the number of Kanban card sets needed. Your research shows that the expected demand during lead time for a particular component is 150 per hour. You estimate the safety stock should be set at 25 percent of the demand during lead time. The tote trays used as containers can hold 8 units of stock, and the lead time it takes to replenish an order is 2 hours. Which of the following is the number of Kanban card sets necessary to support this situation?

• A) 42
• B) 47
• C) 68
• D) 89
• E) 94

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Definitions:

Accounting Entry

A record that represents a transaction in the accounting books of a company.

Joint Control

Joint control exists in a business arrangement when more than one party has the power to govern the financial and operating policies of an economic activity to benefit from it.

Equal Interest

A situation where all parties or stakeholders hold an identical percentage or stake in an agreement, asset, or entity, ensuring a fair distribution of rights and obligations.

Unanimous Consent

Unanimous consent refers to an agreement or decision made with the approval of all parties involved, often used in corporate governance contexts to expedite decisions without a formal vote.