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Armania Motors would to compare a traditional ABO system with a Time On approach for...

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Accounting

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Armania Motors would to compare a traditional ABO system with a Time On approach for its customer service department and has collected the following information about the department 50% 20% Customer service costs are $50,000 per month Theoretically, the capacity for the customer service department is 25.000 minutes per month After adjusting for time off, breaks, meetings, etc., the practicat capacity for the cuntomer service department in 20,000 minutes per month Traditionally, Arizona Motors divided up customer service activities as follows: Preparing Quotes Processing Credit Checks Preparing Repair Orders 30% The quantity of customer service activities per month are as follows: Prepare Quotes 500 Process Credit Checks: 100 Prepare Repair Orders: 100 After observing its workers, the customer service manager prepared the following estimates for the amount of time it should take for each activity: Prepare Quotes: 15 minutes Process Credit Checks: 30 minutes Prepare Repair Orders: 40 minutes O O What is the unused capacity for the Customer Service Department? 10.000 minutes 10,500 minutes 5,500 minutes 5,000 minutes Previous MacBook Pro

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