Accounting 102 - Managerial Accounting » Fall 2022 » CH 10 Quiz

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Question #1
If net operating income is $73,000, average operating assets are $365,000, and the minimum required rate of return is 11%, what is the residual income?
A.   $7,300
B.   $40,150
C.   $105,850
D.   $32,850
Question #2
Santoyo Corporation keeps careful track of the time required to fill orders. Data concerning a particular order appear below: Particulars - Hours Wait time - 13.6 Process time -2.7 Inspection time - 0.3 Move time -3.3 Queue time -7.0 The delivery cycle time was: (Round your intermediate calculations to 1 decimal place.)
A.   3.3 hours
B.   23.9 hours
C.   10.3 hours
D.   26.9 hours
Question #3
Schapp Corporation keeps careful track of the time required to fill orders. The times recorded for a particular order appear below: Particulars - Hours Move time -3.0 Wait time -10.8 Queue time -7.2 Process time -1.9 Inspection time -0.8 The throughput time was:
A.   5.7 hours
B.   18.0 hours
C.   12.9 hours
D.   23.7 hours
Question #4
Navern Corporation manufactures and sells custom home elevators. From the time an order is placed until the time the elevator is installed in the customer’s home averages 59 days. This 59 days is spent as follows: Wait time - 12 days Inspection time - 7 days Process time - 17 days Move time - 16 days Queue time - 7 days What is Navern's manufacturing cycle efficiency (MCE) for its elevators?
A.   59.3%
B.   40.7%
C.   36.2%
D.   52.5%
Question #5
Simkin Corporation keeps careful track of the time required to fill orders. Data concerning a particular order appear below: Particulars - Hours Wait time - 20.9 Process time - 2.8 Inspection time - 0.4 Move time - 3.0 Queue time - 5.1 The manufacturing cycle efficiency (MCE) was closest to: (Round your intermediate calculations to 1 decimal place.)
A.   0.54
B.   0.13
C.   0.25
D.   0.16
Question #6
Pinkton Corporation keeps careful track of the time required to fill orders. The times recorded for a particular order appear below: Particulars - Hours Move time -3.3 Wait time -33.4 Queue time -7.2 Process time - 0.7 Inspection time - 0.3 The delivery cycle time was: (Round your intermediate calculations to 1 decimal place.)
A.   10.5 hours
B.   3.3 hours
C.   44.9 hours
D.   43.9 hours
Question #7
Agustin Industries is a division of a major corporation. Data concerning the most recent year appears below: Sales - $ 17,450,000 Net operating income - $ 715,450 Average operating assets -$ 5,020,000 The division's margin is closest to:
A.   14.3%
B.   19.6%
C.   4.1%
D.   15.5%
Question #8
Agustin Industries is a division of a major corporation. Data concerning the most recent year appears below: Sales $ 18,150,000 Net operating income $ 1,125,300 Average operating assets $ 4,900,000 The division's turnover is closest to:
A.   16.13
B.   0.23
C.   4.35
D.   3.70
Question #9
Agustin Industries is a division of a major corporation. Data concerning the most recent year appears below: Sales $ 17,540,000 Net operating income $ 648,980 Average operating assets $ 4,560,000 The division's return on investment (ROI) is closest to:
A.   0.70%
B.   3.70%
C.   14.23%
D.   10.38%
Question #10
Dacker Products is a division of a major corporation. The following data are for the most recent year of operations: Sales $ 37,680,000 Net operating income $ 3,408,960 Average operating assets $ 9,200,000 The company's minimum required rate of return 16% The division's margin used to compute ROI is closest to:
A.   33.5%
B.   37.1%
C.   9.0%
D.   24.4%

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