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Hitman42 [59]
3 years ago
14

The Action Toy Company has decided to manufacture a new train​ set, the production of which is broken into six steps. The demand

for the train is 4,500 units per​ 40-hour workweek:
Task Performance Time ​(seconds) Predecessors
A 22 -
B 30 A
C 15 A
D 14 A
E 12 ​B, C
F 27 ​D, E
Required:
a) Given the​ demand, the cycle time for the production of the new train set​ = ___________ ​(round your response to one decimal​ place).
b) The theoretical minimum number of work stations is __________? (round your response up to the next whole number)
Business
1 answer:
horsena [70]3 years ago
5 0

Answer:

a. 32 secs

b. 3.75 or 4

Explanation:

The computation is shown below:

(a) Cycle Time is

= Operation time per week ÷  output per week

= (40 hours × 60 × 60) ÷ (4,500)

= 32 secs

(b) And, the Theoretical minimum number of workstations required  is

= Sum of total task times ÷ cycle time

= (22 + 30 + 15 + 14 + 12 + 27) ÷ (32 sec)

= 3.75  or 4

By applying the above formulas we can get the cycle time and the theoretical minimum number of work stations

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3 years ago
Horten Sporting Goods Corporation makes two types of racquets, tennis and badminton. The company uses the same facility to make
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Answer:

Horten Sporting Goods Corporation

                                    TR                BR

a. Cost per unit         $66.98        $62.08

b. Price of Badminton Racquets = $80.70

Explanation:

a) Data and Calculations:

                                   Tennis              Badminton

                                Racquets              Racquets

Units produced          70,000                 30,000

Direct costs:

Direct materials      $17.10 per unit      $14.80 per unit

Direct labor             33.50 per unit        23.10 per unit

Category       Estimated   Cost Driver                         Amount of Cost Driver

                          Cost                                                      TR         BR      Total

Unit level       $736,000 Number of inspection hrs   15,900  7,100  23,000

Batch level      353,800  Number of setups                     83       39        122

Product level   152,500  Number of TV commercials       4          1            5

Facility level   630,000   Number of machine hrs  30,600 39,400 70,000

Total           $1,872,300

Overhead Rates:

Inspection  = $32 ($736,000/23,000) per inspection hour

Equipment setup = $2,900 (353,800/122) per equipment setup

TV commercials = $30,500 ($152,500/5) per commercial

Depreciation = $9 ($630,000/70,000) per machine hour

Overhead Allocation:

                                                        TR                  BR                    Total

Inspection  = $32                     $508,800       $227,200       $736,000

                               ($32*15,900)           ($32*7,100)

Equipment setup = $2,900       240,700            113,100         353,800

                                ($2,900*83)            ($2,900*39)

TV commercials = $30,500      122,000            30,500          152,500

                               ($30,500 *4)            ($30,500 *1)

Depreciation = $9                    275,400          354,600         630,000

                              ($9 * 30,600)            ($9 * 39,400)    

Total allocated expenses   $1,146,900        $725,400     $1,872,300

Units produced                        70,000           30,000

Overhead cost per unit         $16.384           $24.18

Cost per unit:

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Direct materials        $17.10         $14.80

Direct labor               33.50           23.10

Overhead cost          16.38            24.18

Total cost per unit $66.98        $62.08

Cost of Badminton = $62.08

30% markup =              18.62

Price =                        $80.70

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