stereo equipment. The manufacturing process indudes printed circuit (PC) board assembly, final assembly, testing, Sound Tek Inc. manufactures and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 12 minutes to complete. The final assembly for each stereo unit requires 21 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, t must be set up for the particular stereo model. The setup requires 30 minutes. The units wait while the setup is performed. In the final test, the 50-unit batch is tested one at a time. Each test requires 6 minutes. The completed batch, after all testing, is sent to shipping for packaging and final shipment to customers. A complete batch of 50 units is sent from testing to shipping. The Shipping Department is located next to testing. Thus, there is no move time between these two operations. Packaging and labeling requires 8 minutes per unit. test 1. Determine the amount of value-added and non-value-added lead time and the value-added ratio in this process for an a verage stereo unit in a batch of 39 min 28 X min. 1.939 X min. 1.9 V %