DataSpan, Inc., automated its plant at the start of the current year and installed a flexible manufacturing system. The company is also evaluating its suppliers and moving toward Lean Production. Many adjustment problems have been encountered, including problems relating to performance measurement. After much study, the company has decided to use the performance measures below, and it has gathered data relating to these measures for the first four months of operations. Month 1. 3 4 Throughput time (days) Delivery cycle time (days) Manufacturing cycle efficiency (MCE) Percentage of on-time deliveries Total sales (units) ? ? ? ? ? ? ? 89% 84% 81% 788 3880 3714 3524 3390 Management has asked for your help in computing throughput time, delivery cycle time, and MCE. The following average times have been logged over the last four months: Average per Month (in days) 1 3 4 Move time per unit Process time per unit 0.6 0.3 0.4 0.4 2.7 2.5 2.4 2.2 Wait time per order before start of production Queue time per unit Inspection time per unit 25.0 27.4 30.0 32.5 4.4 4.9 5.5 6.2 0.7 0.9 0.9 0.7

DataSpan, Inc., automated its plant at the start of the current year and installed a flexible manufacturing system. The company is also evaluating its suppliers and moving toward Lean Production. Many adjustment problems have been encountered, including problems relating to performance measurement. After much study, the company has decided to use the performance measures below, and it has gathered data relating to these measures for the first four months of operations. Month 1. 3 4 Throughput time (days) Delivery cycle time (days) Manufacturing cycle efficiency (MCE) Percentage of on-time deliveries Total sales (units) ? ? ? ? ? ? ? 89% 84% 81% 788 3880 3714 3524 3390 Management has asked for your help in computing throughput time, delivery cycle time, and MCE. The following average times have been logged over the last four months: Average per Month (in days) 1 3 4 Move time per unit Process time per unit 0.6 0.3 0.4 0.4 2.7 2.5 2.4 2.2 Wait time per order before start of production Queue time per unit Inspection time per unit 25.0 27.4 30.0 32.5 4.4 4.9 5.5 6.2 0.7 0.9 0.9 0.7

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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