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Business, 06.11.2019 19:31 michellemonchez103

Prior to installing a jit system, clarendon company used machine hours to assign maintenance costs to its three products of 6-inch, 8-inch, and 11-inch insulation. the maintenance costs totaled $400,000 per year. the machine hours used by each product and the quantity produced of each product are as follows: machine hours quantity produced 6-inch 12,000 31,250 rolls 8-inch 20,000 25,000 rolls 11-inch 18,000 12,000 rolls after installing jit, three manufacturing cells were created and the cell workers were trained to perform maintenance. maintenance costs for the three cells still totaled $400,000; however, these costs are now traceable to each cell. cell, 6-inch $100,000 cell, 8-inch 120,000 cell, 11-inch 180,000 the maintenance cost per roll of 8-inch insulation before jit is installed would be:
a.$20.00.

b.$16.00.

c.$9.33.

d.$6.40.

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