A manufacturer of flux capacitors is evaluating whether to produce them on a semi-automated machine or...
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A manufacturer of flux capacitors is evaluating whether to produce them on a semi-automated machine or in a fully-automated work center. The cost of the semi-automated machine would cost $80,000 and contain $75 worth of material and labor/conversion cost. The fully- automated work center would cost $200,000 and contain SIS worth of material and laboriconversion cost. How many units are required to be produced cach month for it to make sense to use the fully-automated work center? PROCESS CAPACITY CALCULATIONS (keep your answers for the two following questions) Parts go through the following process: Fabrication -> Paint ---> Assembly Finished Goods Capacity information is as follows: Fabrication Department - Can produce 500 parts/hour per machine - One 8-hour shift - Six machines - Five-day week Paint Department - Can process 1,600 parts/hour - Two 8-hour shift - Five-day week Assembly Department Can produce 3,100 assemblies/hour - One 10-hour shift Four-day week What is the weekly capacity for each of the department? Edit View Insert Format Tools Table Mary McDonald has a widget packaging business in Whitewater, WI. Her annual fixed cost is $9,000, direct labor is $3.50 per package, and material cost is $4.50 per package. The selling price is $12.50 per package. What is the break-even point in units? A manufacturer of flux capacitors is evaluating whether to produce them on a semi-automated machine or in a fully-automated work center. The cost of the semi-automated machine would cost $80,000 and contain $75 worth of material and labor/conversion cost. The fully- automated work center would cost $200,000 and contain SIS worth of material and laboriconversion cost. How many units are required to be produced cach month for it to make sense to use the fully-automated work center? PROCESS CAPACITY CALCULATIONS (keep your answers for the two following questions) Parts go through the following process: Fabrication -> Paint ---> Assembly Finished Goods Capacity information is as follows: Fabrication Department - Can produce 500 parts/hour per machine - One 8-hour shift - Six machines - Five-day week Paint Department - Can process 1,600 parts/hour - Two 8-hour shift - Five-day week Assembly Department Can produce 3,100 assemblies/hour - One 10-hour shift Four-day week What is the weekly capacity for each of the department? Edit View Insert Format Tools Table Mary McDonald has a widget packaging business in Whitewater, WI. Her annual fixed cost is $9,000, direct labor is $3.50 per package, and material cost is $4.50 per package. The selling price is $12.50 per package. What is the break-even point in units?
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Solution 1 DEPARTMENT WEEKLY CAPACITY Fabrication 500 x 8 x 6 x 5 120000 parts Paint 1600 x2 x8x 5 1... View the full answer
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