Question: solutions for both problems mentioned Question 2 A medical appliances manufacturing firm has been operating for the past 10 years, resulting in 85% efficiency; and

solutions for both problems mentioned
solutions for both problems mentioned Question 2 A medical appliances manufacturing firm

Question 2 A medical appliances manufacturing firm has been operating for the past 10 years, resulting in 85% efficiency; and produces a subassembly whose operations chart is given in Figure 2. Marketing department forecasts demand for this subassembly as 3,500 units per 8-hour shift. a) How many people will be needed to be hired or relocated if the company currently has 22 people doing this job? b) For the subassembly, the direct labor cost is $8.00 per hour labor rate. Last year's manufacturing costs are given below. What is the selling price of the subassembly? For the previous year: Direct labor cost: $950,000 Direct material cost: $2,850,000 Overhead cost: $1.900.000 Figure 2 Operations chart for a subassembly (times in hours)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!