1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kkurt [141]
2 years ago
14

You have been approached by one of the staff who works testing equipment that passes through your facility. Every day, you recei

ve computers from the university that have been repaired but now need to be tested to ensure that they can work under high stress. This means running them in your test labs. Because the test labs are as stressful on the test equipment as it is on the computers, you have planned for downtime in the past. To get this downtime, you have tried to ensure that effective capacity utilization is about 65 percent. Yet, the staff person has informed you that a backlog of yet-to-be tested equipment is building up. Furthermore, the test equipment is now starting to break at a rate faster than anticipated. To address this issue, you know that the design or maximum capacity is 720 hours and that over the last three weeks, you have spent 600 hours per week testing equipment.
Based on this data, what is our effective capacity utilization?
Business
1 answer:
earnstyle [38]2 years ago
5 0

<u>You have been approached by one of the staff who works testing equipment that passes through your facility. Every day, you receive computers from the university that have been repaired but now need to be tested to ensure that they can work under high stress. This means running them in your test labs. Because the test labs are as stressful on the test equipment as it is on the computers, you have planned for downtime in the past. To get this downtime, you have tried to ensure that effective capacity utilization is about 65 percent. Yet, the staff person has informed you that a backlog of yet-to-be tested equipment is building up. Furthermore, the test equipment is now starting to break at a rate faster than anticipated. To address this issue, you know that the design or maximum capacity is 720 hours and that over the last three weeks, you have spent 600 hours per week testing equipment.</u>

<u>You have been approached by one of the staff who works testing equipment that passes through your facility. Every day, you receive computers from the university that have been repaired but now need to be tested to ensure that they can work under high stress. This means running them in your test labs. Because the test labs are as stressful on the test equipment as it is on the computers, you have planned for downtime in the past. To get this downtime, you have tried to ensure that effective capacity utilization is about 65 percent. Yet, the staff person has informed you that a backlog of yet-to-be tested equipment is building up. Furthermore, the test equipment is now starting to break at a rate faster than anticipated. To address this issue, you know that the design or maximum capacity is 720 hours and that over the last three weeks, you have spent 600 hours per week testing equipment.Based on this data, what is our effective capacity utilization?</u>

You might be interested in
Variable manufacturing overhead incurred was $245,000. Fixed manufacturing overhead incurred was $373,000. Actual machine-hours
steposvetlana [31]

Before information shows is the correct and complete question.

The Lopez Company use a standard costing in its manufacturing plant for the auto part. The standard cost of particular auto part based on a denominator level of a 4.000 output unit per year. included 6 machine-hours of variable manufacturing overhead at $8 per hour and 6 machine-hours of fixed manufacturing overhead at $15 per hour.

Actual output produced was 4.400 units.

Variable manufacturing overhead incurred was $245.000.

Fixed manufacturing overhead incurred was $373.000.

Actual machine-hours were 28.400.

Prepare the analysis of all variable manufacturing overhead and fixed manufacturing overhead variances.

Additional diagram attached to this question is displayed in the first image below.

Answer:

Explanation:

By using a columnar method, the analysis of all the variance & fixed manufacturing overhead varaince can be computed as follows:

Variable manufacturing overhead analysis:

Actual cost Incurred: ║ Actual input ×  Budgeted ║ Allocated: Budgeted

Actual input × Actual     rate                                        Input for actual output

rate                                                                               × Budgeted rate

245000                         28400×$8.00 = 227200      (4400×6hrs×$8)

                                                                                      = 211,200

                17800 U                    16800  U

            Spending Variance      Efficiency Variance

                                      33800 U

                                Flexible Budget Variance

Hence;

The spending Variance = $17,800 U

Efficiency Variance  = $16,000 U

Flexible Budget Varaince = $33800 U

where;   F = Favourable  & U = Unfavourable

<u>For the fixed Manufacturing Overhead:</u>

Actual cost Incurred: ║ Flexible Budget Lump ║ Allocated: Budgeted

Actual input × Actual     sum regardless of the    Input for actual output

rate                                 output level                     × Budgeted rate

                                                                             

373000                        4000×6hrs×15 = 360000  (4400×6hrs×$15)

                                                                                      = 396000

13000 U                                   36000  F

Spending Variance/               Production-Volume

Flexible budgeted variance   Variance

                                                 23000 F

                                        Over allocated fixed

                                        Overhead

Hence;

The spending Variance = $13000 U

The production Volume Variance  = $36,000 F

Over allocated fixed overhead = $23000 F

where;   F = Favourable  & U = Unfavourable

NOTE: To have a better view of the above computation in a table format, refer to the second and the third diagram in the image below.

8 0
3 years ago
Malcolm Industries recently hired a large number of workers for the company's new construction factory in Colorado. During the h
Arturiano [62]

The complete question should have been:

Malcolm Industries recently hired a large number of workers for the company's new construction factory in Colorado. During the hiring process, the management made a clear effort to recruit physically strong individuals because the work at the factory involves manual labor. The jobs need to be performed by individuals who have the energy and physical stamina to work for long hours. Which of the following surface-level characteristics did the company most likely concentrate on when selecting the new workers?

A.) Age

B.) Values

C.) Beliefs

D.) Religion

E.) Personality

Answer: Age.

Explanation:

Malcolm Industries made use of Age as the Surface Level Characteristic that determined who would be employed. A surface level characteristics can be defined as differences that individuals possesses that easily be identified when they are seen.

8 0
3 years ago
How can gross interest income rise while the net interest margin remains somewhat stable for a particular bank?
Alecsey [184]

Answer:

A bank acts like an intermediary between depositors and creditors. If the market interest rates increase, gross interest income will rise, but all gross interest expense. They will charge higher rates to borrowers, but also must pay higher rates to depositors. The spread probably remains unchanged because both sides increased.

4 0
3 years ago
A company currently has no items in inventory. The demand for the next four months is 200, 400, 250, and 350 units. Determine th
sveticcg [70]

Answer:

325 units per month

Explanation:

Cumulative demand for next four months:

= 200 + 400 + 250 + 350

= 1,200

Total production requirement :

= Cumulative demand for next four months - Beginning inventory + Ending inventory

= 1,200 - 0 + 100

= 1,300

At level strategy, monthly production rate will be uniformly.

Therefore,

the monthly production rate will be as follows:

= 1,300 ÷ 4

= 325 units per month

8 0
3 years ago
A temporary association organized to perform a specific task requiring a large amount of capital is known as a(n)
lianna [129]

Answer:

Syndicate

Explanation:

4 0
2 years ago
Other questions:
  • A 3-year insurance policy costing $1,164 is taken out november 1, 1995. the property was sold on may 15, 1996, and the day of cl
    6·1 answer
  • If you want to start a fire using sunlight, which kind of mirror would be most efficient
    12·1 answer
  • The ________ holds that an individual should never do anything that is not honest, open, and truthful and that he or she would n
    8·1 answer
  • Which of the following scenarios describe an object being acted on by a non-conservative force?a. A puck hovers and glides acros
    7·2 answers
  • To confirm the official requirements for becoming a cosmetologist, you should check with ______________________.
    11·1 answer
  • Climate is based on the way people in the organization view all of the following except _____ .
    13·2 answers
  • International businesses need to understand the nature of the globalization debate and observe how their own practices may act i
    10·2 answers
  • Introducing a new product into the market is called.
    6·1 answer
  • 3. What challenges do you anticipate in implementing some of the above steps? Explain.
    9·1 answer
  • If a building has 18,000 square feet of useable space and 2,000 square feet of common area, the rentable/useable factor would be
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!