Answer:
83.6%
Explanation:
<h3>(a)</h3>
On its current schedule, the plant can theoretically produce ...
(30 pc/h/machine)(10 machine)(8 h/shift)(2 shift/day)(5 day/wk)(50 wk/yr)
= (30)(10)(8)(2)(5)(50) pc/yr = 1,200,000 pc/yr
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<h3>(b)</h3>
On the proposed schedule, this production becomes ...
(30 pc/mach)(10 mach)(8 h/sh)(3 sh/da)(6 da/wk)(51 wk/yr)
= (30)(10)(8)(3)(6)(51) pc/yr = 2,203,200 pc/yr
The increase in capacity is ...
(2,203,200/1,200,000 -1) × 100% = 83.6% . . . capacity increase
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<em>Additional comment</em>
The number of parts per shift did not change. Only the number of shifts per year changed. It went up by a factor of (3/2)(6/5)(51/50) = 1.836. Hence the 83.6% increase in capacity.
We have to assume that maintenance and repair are done as effectvely as before in the reduced down time that each machine has.
