Question

Cheryl’s Country Creations is a chain of craft stores. The company evaluates its managers on the basis of both financial and nonfinancial performance measures. One of the nonfinancial measures used is throughput to measure performance in the manufacturing division. The following data pertain to the company’s branch in Biloxi, Mississippi. The unit of measurement is units.
Units started into production .............. 180,000
Total defect-free units completed ............. 135,000
Total hours of value-added production time ......... 90,000
Total production hours ................. 120,000

Required
A. Compute the manufacturing cycle efficiency.
B. What was the total throughput per hour? Round your answer to two decimal places.



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  • CreatedMarch 11, 2015
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