Kilmer Company has demand for its only product that exceeds its manufacturing capacity. The company provided the following Information for the machine whose limited capacity is prohibiting the company from producing and selling additional units. Actual run time this week Machine time available per week Actual run rate this week Ideal run rate Defect-free output this week Total output this week (including defects) Required: 23,310 minutes 25,900 minutes 8.00 units per minute 10 units per minute 149,184 units 186,480 units 1. and 2. With respect to the company's overall equipment effectiveness, calculate the following: Note: Do not round Intermediate calculations. Round final answers to 2 decimal places and "Units" answers to the nearest whole number. 1-a. Utilization rate 1-b. Efficiency rate. 1-c. Quality rate 1-d. Overall equipment effectiveness 2-a. Utilization loss in units 2-b. Efficiency loss in units 2-c. Quality loss in units
Kilmer Company has demand for its only product that exceeds its manufacturing capacity. The company provided the following Information for the machine whose limited capacity is prohibiting the company from producing and selling additional units. Actual run time this week Machine time available per week Actual run rate this week Ideal run rate Defect-free output this week Total output this week (including defects) Required: 23,310 minutes 25,900 minutes 8.00 units per minute 10 units per minute 149,184 units 186,480 units 1. and 2. With respect to the company's overall equipment effectiveness, calculate the following: Note: Do not round Intermediate calculations. Round final answers to 2 decimal places and "Units" answers to the nearest whole number. 1-a. Utilization rate 1-b. Efficiency rate. 1-c. Quality rate 1-d. Overall equipment effectiveness 2-a. Utilization loss in units 2-b. Efficiency loss in units 2-c. Quality loss in units
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 3PA: Pocono Cement Forms expects $900,000 in overhead during the next year. It does not know whether it...
Question
Denjar

Transcribed Image Text:Kilmer Company has demand for its only product that exceeds its manufacturing capacity. The company provided the following
Information for the machine whose limited capacity is prohibiting the company from producing and selling additional units.
Actual run time this week
Machine time available per week
Actual run rate this week
Ideal run rate
Defect-free output this week
Total output this week (including defects)
Required:
23,310 minutes
25,900 minutes
8.00 units per minute
10 units per minute
149,184 units
186,480 units
1. and 2. With respect to the company's overall equipment effectiveness, calculate the following:
Note: Do not round Intermediate calculations. Round final answers to 2 decimal places and "Units" answers to the nearest whole
number.
1-a. Utilization rate
1-b. Efficiency rate.
1-c. Quality rate
1-d. Overall equipment effectiveness
2-a. Utilization loss in units
2-b. Efficiency loss in units
2-c. Quality loss in units
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