The System of Kanbans Used to Coordinate Delivery of Goods

question 89

Multiple Choice

The system of Kanbans used to coordinate delivery of goods by suppliers can include all of the following except

• A) Filled containers delivered by the supplier
• B) Purchase approvals by the production manager
• C) Mail boxes for each supplier
• D) Empty containers with a Kanban
• E) Bar-coded Kanbans

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Definitions:

Weighted Average Method

A method for calculating the cost of goods sold and the final inventory value by using the average cost of all items available for sale during the accounting period, weighted by quantity.

Total Equivalent Units

A calculation used in process costing to convert partial units of production into full units for easier cost assignment.

Conversion Costs

Costs incurred in the process of converting raw materials into finished goods, typically including labor and overhead expenses.

Roasting Department

A specialized division within a company or factory where coffee beans are roasted.