XYZ makes two types of products using 4 machines for 8 hours each day. Product A visits machines 1, 2 and 4. Product B visits machines 1 and 3. The capacity is 0.6 unit per minute at machine 1. 0.12 unit per minute at machine 2. 0.2 unit per minute at machine 3, and 0.5 unit per minute at machine 4. The demand per dav is 40 units for product A and 160 units per day for product B. Determine the implied utilization (IU) of all resources. What is the bottleneck ? Why ?. Show all formulas used, calculations and results.
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- The Holt Million Corporation’s plant manufactures two different products: X and Y. The plant has three different machines: A, B, and C. Each performs different tasks and can work on only one unit of material at a time. Details for each product are shown in the table below: Product X Y Demand Per Week 200 units 100 units Selling Price $150 $160 Machine Operation Required A, B, C B, B, C Operation Times in Minutes 20, 15, 15 15, 15, 15 Raw Materials Needed RM-1, RM-2 RM-2, RM-3 Raw Materials Costs RM-1 = $40/unit, RM-2 or RM-3 = $20/unit Each product uses raw materials with costs as shown in the above table where the processing times and the machine required for each operation are also shown. Each machine is available 4,800 minutes per week. There are no system foul-ups. Demand is deterministic (i. e., no uncertainty). Operating expenses, including labor (but excluding raw materials) total $12,000 per week. Assuming…Jefferson Company's demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting the company from producing and selling additional units. 4,900 minutes 7,000 minutes 3.8 units per minute 4.0 units per minute 15,827 units 18,620 units Actual run time this week Machine time available per week Actual run rate this week Ideal run rate Defect-free output this week Total output this week (including defects) Required: 1. Compute the utilization rate. (Round your answer to 2 decimal places.) 2. Compute the efficiency rate. (Round your answer to 2 decimal places.) 3. Compute the quality rate. (Round your answer to 2 decimal places.) 4. Compute the overall equipment effectiveness (OEE). (Do not round intermediate calculations. Round your final answer to 3 decimal places.) Utilization rate Efficiency rate Quality rate Overall equipment effectivenessThe Holt Million Corporation’s plant manufactures two different products: X and Y. The plant has three different machines: A, B, and C. Each performs different tasks and can work on only one unit of material at a time. Details for each product are shown in the table below: Product X Y Demand Per Week 200 units 100 units Selling Price $150 $160 Machine Operation Required A, B, C B, B, C Operation Times in Minutes 20, 15, 15 15, 15, 15 Raw Materials Needed RM-1, RM-2 RM-2, RM-3 Raw Materials Costs RM-1 = $40/unit, RM-2 or RM-3 = $20/unit Each product uses raw materials with costs as shown in the above table where the processing times and the machine required for each operation are also shown. Each machine is available 4,800 minutes per week. There are no system foul-ups. Demand is deterministic (i. e., no uncertainty). Operating expenses, including labor (but excluding raw materials) total $12,000 per week. Assuming…
- Knott’s Industries manufactures standard and super premium backyard swing sets. Currently it has four identical swing-set-making machines, which are operated 250 days per year and 8 hours each day. A capacity cushion of 20 percent is desired. The following information is also known: Standard Model Super PremiumModel Annual Demand Standard Processing Time Average Lot Size Standard Setup Time per Lot 20,000 7 min 50 30 min 10,000 20 min 30 45 min a. Does Knott’s have sufficient capacity to meet annual demand?b. If Knott’s was able to reduce the setup time for the Super Premium Model from 45 minutes to 30 minutes, would there be enough current capacity to produce 20,000 units of each type of swing set?Jefferson Company’s demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting the company from producing and selling additional units. Actual run time this week 6,106 minutes Machine time available per week 8,600 minutes Actual run rate this week 4.32 units per minute Ideal run rate 6.00 units per minute Defect-free output this week 11,315 units Total output this week (including defects) 15,500 units 1. Compute the utilization rate.2. Compute the efficiency rate. 3. Compute the quality rate. 4. Compute the overall equipment effectiveness (OEE).n a manufacturing process, a molded part spends 7 hours in inventory before being placed in a deburring machine, where the part is processed for 2 minutes. After deburring, the part spends 4 hours in inventory waiting for its turn on the polishing machine. The part then spends 7 minutes in polishing before waiting 6 hours in line to be painted. The part goes through a painting process that takes 7 minutes, then spends 11 hours in inventory before being shipped to the customer. What is the percentage of value-added time for the part?
- In a job shop, effective capacity is only 79 percent of design capacity, and actual output is 53 percent of effective output. What design capacity would be needed to achieve an actual output of 11 jobs per week? What is its effective capacity? a. The Design Capacity needed to achieve the required actual job outputs Blank 1 (round to whole number) b. The Effective Capacity needed to achieve the required actual job outputs = Blank 2 (round to whole number) Blank 1 Add your answerA department works on 8 hours shift, 288 days a year and has the usage data of a machine, as given below: Processing time (Standard time in hours) Annual Demand Product (units) A 325 5 B 450 4 550 6 Calculate: (a) Processing time needed in hours to produce products A, B and C (b) Annual production capacity of one machine in standard hours (c) Number of machines requiredC&A Candy produces two kinds of gumdrops: regular and sugar-free. The data on these gumdrops are given below: Regular Sugar-Free 30 10 60 30 80 80 Demand (lbs per hour) Changeover time (min) Production rate (lbs per hour) C&A first makes 60 pounds of regular gumdrops, then 20 pounds of sugar-free gumdrops, and then repeats this sequence. What is the utilization of the production process? Multiple Choice O O O 25% 20% 50% 40%
- In a job shop, effective capacity is only 43 percent of design capacity, and actual output is 71 percent of effective output. What design capacity would be needed to achieve an actual output of 11 jobs per week? What is its effective capacity?a. The Design Capacity needed to achieve the required actual job outputs = (round to whole number)b. The Effective Capacity needed to achieve the required actual job outputs = (round to whole number)er A product line includes 8 different product styles, each consisting of 93 components. Assume that 9 processing operations are needed to produce each component on average with each operation taking an average 1.2 min, which includes setup time and part handling time. All operations need a production machine, and currently 25 machines are dedicated to this task. The plant operates 52 hours per week, 52 weeks a year. Determine the yearly production of each style in units (round downward). 63 504QuestionByron Sports is a manufacturer of sportswear. It produces all of its products in one department using a process costing system.The information for the current month is as follows:Beginning work in process (30% complete as to conversion cost) 12,000 unitsUnits started 90,000 unitsUnits completed and transferred out ?Ending work in process (70% complete as to conversion) 8,000 unitsCosts:Beginning work-in-process direct materials $28,800Beginning work-in-process conversion $5,040Direct materials added during month $216,000Conversion costs incurred during the month $139,200Direct materials are added at the beginning of the process. Conversion costs are incurred uniformlythroughout the production process. Costing is handled on a FIFO basis Required:a. Prepare a production cost worksheet using 5 steps approach.b. Under what conditions would a process costing system be more appropriate than a job order costing system? Explain.