Hassel has estimated the first batch of product will take 80 hours to complete. A 90% learning curve is expected. If labor is paid P30 per hour, the target labor cost for eight batches of product is A. P13,996.80 B. P15,552.00 C. P17,280.00 D. P1,944.00

Hassel has estimated the first batch of product will take 80 hours to complete. A 90% learning curve is expected. If labor is paid P30 per hour, the target labor cost for eight batches of product is A. P13,996.80 B. P15,552.00 C. P17,280.00 D. P1,944.00

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 28E: Assume that the inspection activity has an expected cost of 120,000. Expected direct labor hours are...

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A manual assembly line is being designed for a product with annual demand = 100,000 units. The line will operate 50 wks/year, 5 shifts/wk, and 7.5 hr/shift. Work units will be attached to a continuously moving conveyor. Work content time = 42.0 min. Assume line efficiency E = 0.97, balancing efficiency Eb = 0.92, and repositioning time Tr = 6 sec. Determine: (a) hourly production rate to meet demand, (b) number of workers required.
A manager must decide which type of machine to buy, A, B, or C. Machine costs (per individual machine) are as follows Machine Cost $50,00e $40,000 $70,000 A. Product forecasts and processing times on the machines are as follows: PROCCESSING TIME PER UNIT (minutes) Annua) Product Demand 12,000 21,000 11,000 25,000 A. 2. 1. 2. 2 2. 2. a. Assume that only purchasing costs are being considered. Compute the total processing time required for each machine type to meet demand, how many of each machine type would be needed, end the resulting total purchasing cost for each machine type. The machines will operate 10 hours a day, 230 days a year. (Enter total processing times as whole numbers. Round up machine quantities to the next higher whole number. Compute total purchasing costs using these rounded machine quentities. Enter the resulting total purchasing cost as a whole number.) Total processing time in minutes per machine B. C. Number of each machine needed and total purchasing cost A.…
No.5
MCE Craig, Inc., has provided the following information for one of its products for each hour of production: Actual velocity: 200 units (per hour) Move time: 11 minutes Inspection time: 12 minutes Rework time: 12 minutes 1. MCE is 0.42 2. What is the theoretical cycle time? Calculate MCE using actual and theoretical cycle times. If required, round your answers to two decimal places. Theoretical cycle time fill in the blank minutes Actual cycle time 0.3 minutes MCE fill in the blank
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The overhead costs for a company are presently $Xper month. The management team of the company, in cooperation with the employees, is ready to implement a comprehensive improvement program to reduce these costs. If you (a) consider an observation of actual overhead costs for one month analogous to an output unit, (b) estimate the overhead costs for the first month of program implementation to be 1.15Xdue to extra front-end effort, and (c) consider a 90% improvement curve applicable to the situation, what is your estimate of the percentage reduction in present overhead costs per month after 30 months of program implementation?