AlwaysRain Irrigation, Inc. would like to determine capacity requirements for the next four years. Currently, two production lines are in place for making bronze and plastic sprinklers. Three types of sprinklers are available in both bronze and plastic: 90-degree nozzle sprinklers, 180-degree nozzle sprinklers, and 360-degree nozzle sprinklers. Management has forecast demand for the next four years as follows: Plastic 90 Plastic 180 Plastic 360 Bronze 90 Bronze 180 Bronze 360 YEARLY DEMAND 1 (IN 000s) 2 (IN 000s) 34 14 47 4 5 10 46 19 59 5 S 11 3 (IN 000s) 59 20 67 6 4 18 Saved 4 (IN 000s) 58 19 65 13 9 19 Both production lines can produce all the different types of nozzles. The bronze machines needed for the bronze sprinklers require two operators and can produce up to 15,000 sprinklers. The plastic injection molding machine needed for the plastic sprinklers requires four operators and can produce up to 250,000 sprinklers. Three bronze machines and only one injection molding machine are available. What are the capacity requirements for the next four years? (Assume that there is no learning.) (Enter the demand values in thousands. Round your answers to 2 decimal places.)
AlwaysRain Irrigation, Inc. would like to determine capacity requirements for the next four years. Currently, two production lines are in place for making bronze and plastic sprinklers. Three types of sprinklers are available in both bronze and plastic: 90-degree nozzle sprinklers, 180-degree nozzle sprinklers, and 360-degree nozzle sprinklers. Management has forecast demand for the next four years as follows: Plastic 90 Plastic 180 Plastic 360 Bronze 90 Bronze 180 Bronze 360 YEARLY DEMAND 1 (IN 000s) 2 (IN 000s) 34 14 47 4 5 10 46 19 59 5 S 11 3 (IN 000s) 59 20 67 6 4 18 Saved 4 (IN 000s) 58 19 65 13 9 19 Both production lines can produce all the different types of nozzles. The bronze machines needed for the bronze sprinklers require two operators and can produce up to 15,000 sprinklers. The plastic injection molding machine needed for the plastic sprinklers requires four operators and can produce up to 250,000 sprinklers. Three bronze machines and only one injection molding machine are available. What are the capacity requirements for the next four years? (Assume that there is no learning.) (Enter the demand values in thousands. Round your answers to 2 decimal places.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Variance Analysis
In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.
Standard Costing
The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
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