Create quality control charts for round-trip fuel usage

Assignment Help Cost Accounting
Reference no: EM13903414

Quality control. Eastsound operates daily round-trip flights between two cities using a fleet of three planes: the Viper, the Tiger, and the Eagle.

The budgeted quantity of fuel for each round trip is the average fuel usage, which over the past 12 months has been 150 gallons. Eastsound has set the upper control limit at 180 gallons and the lower control limit at 130 gallons. The operations manager received the following report for round-trip fuel usage for the period by the three planes.

Trip

Viper

Tiger

Eagle

1

156

155

146

2

141

141

156

3

146

144

167

4

152

161

156

5

156

138

183

6

161

170

177

7

167

149

189

8

186

159

171

9

173

152

176

10

179

140

185

a. Create quality control charts for round-trip fuel usage for each of the three planes for the period. What inferences can you draw from them?

b. Some managers propose that Eastsound present its quality control charts in monetary terms rather than in physical quantities (gallons). What are the advantages and disadvantages of using monetary fuel costs rather than gallons in the quality control charts?

Reference no: EM13903414

Questions Cloud

Goals in applying to enter rosemont''s graduate business : goals in applying to enter Rosemont's graduate business program.
What are the costs to newspaper of making the product recall : Recalling products to provide good service to customers. What are the costs and benefits to the newspaper of making this ‘‘product recall''? Was this an ethical issue?
Describe the term mutually exclusive : Describe the term mutually exclusive
Draw possible electric field lines in the diagram : A large negatively charged metal plate is lying horizontally, as in the picture below. A positively charged conducting ball is located, as shown, above the plate. Points A and B are points in space, not charges.
Create quality control charts for round-trip fuel usage : Create quality control charts for round-trip fuel usage for each of the three planes for the period. What inferences can you draw from them?
What training courses should the manager make available : What training courses should the manager make available to help improve the current performance of a typical student?
Calculate the break-even time for the new product : Princeton Corporation's research and development department is presenting a proposal for new product research. Calculate the break-even time for the new product. What can Princeton Corporation do to reduce break-even time?
How you want to be remembered by your family and friends : Expand on what you wrote for your final discussion topic. Please write a complete, 1-page obituary that includes how you want to be remembered by your family and friends
What is maximum cash investment that new product develope : What is the maximum cash investment that the new product development committee will agree to fund for the S-Card project?

Reviews

Write a Review

Cost Accounting Questions & Answers

  Prepare an income statement - skyline flying school

Prepare an income statement and a retained earnings statement for May assuming the data are not included -

  Prepare an incremental analysis

Prepare an incremental analysis whether the company should make or buy the electrical cords. (b) Will your answer be different if the released productive capacity will generate additional income of $5,000?

  How would you split up the total cost of the cab fare

Sharing Cab Fare Suppose there are three passengers sharing a single cab ride. Required How would you split up the total cost of the cab fare among A, B, and C?

  Prepare journal entries to record transactions

Lehn uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest on each January 1 - Prepare the journal entries to record the following transactions.

  Prepare a cash budget for carmel covering

Prepare a cash budget for Carmel covering the first seven months of 2004 and carmel has $250,000 in notes payable due in July that must berepaid or renegotiated for an extension. Will the firm have ample cash to repay the notes?

  Historical cost concept in the valuing of long-term assets

US GAAP follows the Historical Cost Concept in the valuing of long-Term Assets.

  Evaluate the amount allocated to each product

Determine the amount allocated to each product if the estimated net realizable value method is used, and compute the cost per case for each product

  Were the bonds selling at a premium or at a discount

Walt Disney 7% bonds due in 2032 were selling for 118.29 as for March, 29, 2009. Were the bonds selling at a premium or at a discount? Explain.

  Variable costing net operating income last

variable costing net operating income last year....55800increase in ending inventory last year....3600variable costing

  Hults corporation has given data concerning the companys

hults corporation has given data concerning the companys manufacturing overhead account for the month of november.

  Contrast the primary focus of job order cost accounting

Contrast the primary focus of job order cost accounting and of process cost accounting.

  Compute the minimum bid price for the entire order

Wong Accounting Services is considering a special order that it received from one of its corporate clients. Wong would be satisfied with a $40 gross profit per return. Compute the minimum bid price for the entire order.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd