Question: Brief Exercise 13-32. Continuous Flow vs. Departmental Manufacturing Objective 4 Example 13.6 During the week of August 21, Parley Manufacturing produced and shipped 4,000

Brief Exercise 13-32. Continuous Flow vs. Departmental Manufacturing Objective 4 Example 13.6 During the week of August 21, Parley Manufacturing produced and shipped 4,000 units of its machine tools: 1,500 units of Tool SK1 and 2,500 units of Tool SK3. The cycle time for SK1 is 0.73 hour, and the cycle time for SK3 is 0.56 hour. The following costs were incurred: Parley Manufacturing Value-Stream Costs and Production Hours This Week, August 21 Net Hours Materials Order processing 400 Salaries/ Wages $ 4,500 Machining Other Total Cost 5 4,500 Production planning 50 9,000 9.000 Purchasing 200 6.750 6,750 Casting 500 $ 66,750 36,375 $9,000 $4.500 116,625 Grinding 600 25.000 10,500 10.500 3,000 49.000 Drilling 125 18.750 12,500 $1.250 Inspection 150 2.625 2,625 Packaging and shipping 150 2250 2.250 Invoicing 325 3.000 3,000 Tistals 500 $110.500 $87.500 $19.500 $7.500 $225,000
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