In a job cost system, when all necessary costs are accumulated in the work in process inventory account, the costs are then transferred to the cost of goods sold account

Explain customer value management and the two basic goals of customer value management

What will be an ideal response?

What is the objective function?

A production of 300 units of Twiddle Bugs, an educational toy for children, must be completed within 1 week by BugU Manufacturing. Two production lines are available, each for 30 hours during the week. Production line 1 can produce five units per hour and production line 2 can produce four units an hour. Line 1 costs $50 per hour to operate and line 2 costs $55 per hour. Overtime is available for line 1 at $15 per hour and for line 2 at $12 per hour. Management goals in decreasing order are: P1: Produce 300 units. P2: Maximum allowable overtime of 6 hours for line 1. P3: Cost of overtime must not exceed $750. P4: Avoid the underutilization of either production line. Assign weights that are proportional to their production capability. P5: Producing more than 300 units is 1-1/2 times as undesirable as producing under 300 units.