Prakesh Company has the following data for one of its manufacturing cells: a. Maximum units produced in

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Prakesh Company has the following data for one of its manufacturing cells:

a. Maximum units produced in a month: 150,000 units

b. Actual units produced in a month: 120,000 units

c. Hours of production labour in one month: 30,000 hours

Required:

1. Compute the theoretical cycle time (in minutes).

2. Compute the actual cycle time (in minutes).

3. Compute the theoretical velocity (in units per hour).

4. Compute the actual velocity (in units per hour).

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Cornerstones of Managerial Accounting

ISBN: 978-0176530884

2nd Canadian edition

Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman

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