What is the capacity of the shop (in units per minute)?

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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H4.

A manufacturing process consists of three processes. Step 1 requires 4 minutes per unit, step 2 requires 6 minutes per unit, and step 3 requires 7 minutes per unit. 20% of units that complete the third step require rework, which means those units must start the process over at step 2 (processing times are the same for units being reworked) and rework is always successful. Demand at the shop is 0.4 units per minute.

 

What is the capacity of the shop (in units per minute)?

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