Case Study Chapter 2

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San Diego State University *

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Industrial Engineering

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Feb 20, 2024

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xlsx

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Case Study Chapter 2 assembly line supervisor € 6,000.00 per month bags for packaging € 0.09 per 500g box blueberries € 1.23 per 500g box boxes for packaging € 0.21 per 500g box consultants for the manufacturing process € 50,000.00 per consultation depreciation - building € 5,000.00 per month depreciation - equipment € 200,000.00 per month direct labor € 80,000.00 per month factory maintenance € 35,000.00 per month nuts € 0.90 per 500g box oats € 0.48 per 500g box production equipment maintenance € 15,000.00 per month raisins € 0.79 per 500g box security for the factory € 4,000.00 per month storage capacity finished goods (FG) € 500.00 per day storage capacity raw materials (RM) € 1,000.00 per day strawberries € 1.23 per 500g box wheat € 0.52 per 500g box Estimated Machine Hours - Total 4,800 per year Estimated Machine Hours - Assembly 4,560 per year Estimated Machine Hours - Packaging & Storage 240 per year Estimated Direct Labor Hours - Total 96,000 per year Estimated Direct Labor Hours - Assembly 67,200 per year Estimated Direct Labor Hours - Packaging & Storage 28,800 per year Production Capacity in Units 5,120,000 per year Expected Production in Units 5,000,000 per year Plantwide Predetermined Overhead Rate [1] per machine hour Assembly Department Overhead Rate [7] per machine hour [7] per machine hour Insert formulas and cell references into the "gold" cells below. (scroll down)
Plantwide Predetermined Overhead Rate [4] per labor hour Assembly Department Overhead Rate [10] per labor hour [10] per labor hour Q1-210308 Q2-210401 Q2-210402 € 0.00 € 0.10 € 0.20 € 0.30 € 0.40 € 0.50 € 0.60 € 0.70 € 0.80 € 0.90 € 1.00 Unit Costs Using Various Overhead Allocation Methods for Production Campaigns at Muesli AG
Direct or Indirect Product Cost Departmental MOH Direct Cost Assembly € 6,000.00 € 6,000.00 € 0.09 € 1.23 € 0.21 € 4,166.67 € 4,166.67 € 5,000.00 € 2,500.00 € 2,500.00 € 200,000.00 € 200,000.00 € 80,000.00 € 35,000.00 € 17,500.00 € 17,500.00 € 0.90 € 0.48 € 15,000.00 € 15,000.00 € 0.79 € 4,000.00 € 2,000.00 € 2,000.00 € 10,000.00 € 10,000.00 € 20,000.00 € 20,000.00 € 1.23 € 0.52 € 299,166.67 € 247,166.67 € 52,000.00 per month per month per month € 3,590,000.00 € 2,966,000.00 € 624,000.00 per year per year per year Q1-210308 Q2-210401 Q2-210402 # of units (boxes) produced 16,000 16,000 16,000 Direct materials € 87,200.00 € 87,200.00 € 87,200.00 Manufacturing Overhead Packaging & Storage Production "Campaigns" aka production orders or job orders
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Direct labor costs € 320.00 € 320.00 € 320.00 Actual machine hours Assembly 23.0 22.0 20.0 Packaging & Storage 1.0 2.0 4.0 Direct labor hours Assembly 20.0 22.0 28.0 Packaging & Storage 12.0 10.0 4.0 Total Costs using a Plantwide POHR per MH Q1-210308 Q2-210401 Q2-210402 Direct materials [2] Direct labor costs [2] Manufacturing Overhead [2] Total Cost of Job [2] Cost per Unit [3] Sales Price per Unit [13] Total Costs using a Departmental POHR per MH Q1-210308 Q2-210401 Q2-210402 Direct materials [8] Direct labor costs [8] MOH in Assembly Dept. [8] MOH in Packaging & Storage [8] Total Cost of Job [8] Cost per Unit [9] Sales Price per Unit [14] [15]
Total Costs using a Plantwide POHR per DLH Q1-210308 Q2-210401 Q2-210402 Direct materials [5] Direct labor costs [5] Manufacturing Overhead [5] Total Cost of Job [5] Cost per Unit [6] Total Costs using a Departmental POHR per DLH Q1-210308 Q2-210401 Q2-210402 Direct materials [11] Direct labor costs [11] MOH in Assembly Dept. [11] MOH in Packaging & Storage [11] Total Cost of Job [11] Cost per Unit [12]