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levacccp [35]
4 years ago
8

Hickory Manufacturing Company forecasts the following demand for a product (in thousands of units) over the next five years: Use

d from book Currently the manufacturer has seven machines that operate on a two-shift (eight hours each) basis. Twenty days per year are available for scheduled maintenance of equipment with no process output. Assume there are 250 workdays in a year. Each manufactured good takes 30 minutes to produce. a. What is the capacity of the factory
Business
2 answers:
mixas84 [53]4 years ago
6 0

Answer:

51,520 units

Explanation:

a. The computation of the capacity of the factory is shown below:

Capacity of the factory = (Number of workdays in a year - number of given days) × number of hours × number of shifts × number of machines × basis

= (250 days - 20 days) × 8 hours × 2 shifts × 7 × 2

= 51,520 units

We simply applied the above formula to determine the capacity of the factory

Nat2105 [25]4 years ago
6 0

Answer:

Capacity = 12880 units

Explanation:

  • Work days = 250 - 20 = 230
  • Shifts / day = 2
  • Hours / shift = 8
  • Machines working each time = 7

Total production time = 230 (2) (8) (7) = 25760 hours

Time required per good = 30 minutes or 1/2 hour

So, Total capacity = 25760 x 1/2

= 12880 units

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Answer:

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Explanation:

Giving the following information:

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