The Goode and Cooke Company produces several models of frying pans. There is little difference in...
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The Goode and Cooke Company produces several models of frying pans. There is little difference in the production time required for the various models; the plant is designed to produce 160 frying pans per eight-hour shift, and there are two shifts per working day. However, the plant does not operate for the full eight hours: the employees take two 12- minute breaks in each shift, one in the first four hours and one in the second four hours; two hours per week are devoted to cleaning the factory and performing maintenance on the machines; one four-hour period every four weeks is devoted to the meeting of the quality circle. The plant usually produces about 3,500 frying pans per four-week period. You may ignore holidays in solving this problem. Answer the following questions by adjusting the data to a four-week time period. a) What is the design capacity in frying pans? b) What is the effective capacity in frying pans? As a percent? c) What is the actual output? d) What is the efficiency? e) What is the utilization? f) Re-work the problem using a time period of one eight-hour shift. The Goode and Cooke Company produces several models of frying pans. There is little difference in the production time required for the various models; the plant is designed to produce 160 frying pans per eight-hour shift, and there are two shifts per working day. However, the plant does not operate for the full eight hours: the employees take two 12- minute breaks in each shift, one in the first four hours and one in the second four hours; two hours per week are devoted to cleaning the factory and performing maintenance on the machines; one four-hour period every four weeks is devoted to the meeting of the quality circle. The plant usually produces about 3,500 frying pans per four-week period. You may ignore holidays in solving this problem. Answer the following questions by adjusting the data to a four-week time period. a) What is the design capacity in frying pans? b) What is the effective capacity in frying pans? As a percent? c) What is the actual output? d) What is the efficiency? e) What is the utilization? f) Re-work the problem using a time period of one eight-hour shift.
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Related Book For
Management Accounting
ISBN: 978-0132570848
6th Canadian edition
Authors: Charles T. Horngren, Gary L. Sundem, William O. Stratton, Phillip Beaulieu
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