In the first quarter of operations, a manufacturing cell produced 80,000 stereo speakers, using 20,000 production hours. In the second quarter, the cycle time was 10 minutes per unit with the same number of production hours as were used in the first quarter. Required: 1. Compute the velocity (per hour) for the first quarter. 2. Compute the cycle time for the first quarter (minutes per unit produced). 3. How many units were procured in the second quarter?
In the first quarter of operations, a manufacturing cell produced 80,000 stereo speakers, using 20,000 production hours. In the second quarter, the cycle time was 10 minutes per unit with the same number of production hours as were used in the first quarter. Required: 1. Compute the velocity (per hour) for the first quarter. 2. Compute the cycle time for the first quarter (minutes per unit produced). 3. How many units were procured in the second quarter?
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter5: Activity-based Costing And Management
Section: Chapter Questions
Problem 47E: Cycle Time and Velocity In the first quarter of operations, a manufacturing cell produced 80,000...
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Transcribed Image Text:In the first quarter of operations, a manufacturing cell
produced 80,000 stereo speakers, using 20,000 production
hours. In the second quarter, the cycle time was 10 minutes
per unit with the same number of production hours as were
used in the first quarter.
Required:
1. Compute the velocity (per hour) for the first quarter.
2. Compute the cycle time for the first quarter (minutes per
unit produced).
3. How many units were procured in the second quarter?
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