Management of Mittel Company wants to reduce the elapsed time from when a customer places an order to when it is shipped. It provided the following data for a recent quarter: Inspection time Wait time (from order to start of production) Process time Move time Queue time Required: 1. Compute the throughput time. Note: Round your answer to 1 decimal place. 2. Compute the manufacturing cycle efficiency (MCE) for the quarter. Note: Round your percentage answer to nearest whole percent. 3. What percentage of the throughput time was spent in non-value-added activities? Note: Round your percentage answer to nearest whole percent. 4. Compute the delivery cycle time. Note: Round your intermediate calculations and final answer to 1 decimal place. 5. If using Lean Production eliminates all queue time, what will be the new MCE? Note: Do not round intermediate calculations. Round your percentage answer to 1 decimal place. Answer is complete but not entirely correct. 1. Throughput time 2. Manufacturing cycle efficiency 3. Non-value-added throughput time 0.5 day 16.0 days 4. Delivery cycle time 5. New manufacturing cycle efficiency 24.0 11 89 X % 20.0 X days 13.0 % 2.7 days 0.8 day 3.7 days days %

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Management of Mittel Company wants to reduce the elapsed time from when a customer places an order to when it is shipped. It
provided the following data for a recent quarter:
Inspection time
Wait time (from order to start of production)
Process time
Move time
Queue time
Required:
1. Compute the throughput time.
Note: Round your answer to 1 decimal place.
0.5 day
16.0 days
2. Compute the manufacturing cycle efficiency (MCE) for the quarter.
Note: Round your percentage answer to nearest whole percent.
3. What percentage of the throughput time was spent in non-value-added activities?
Note: Round your percentage answer to nearest whole percent.
4. Compute the delivery cycle time.
Note: Round your intermediate calculations and final answer to 1 decimal place.
5. If using Lean Production eliminates all queue time, what will be the new MCE?
Note: Do not round intermediate calculations. Round your percentage answer to 1 decimal place.
Answer is complete but not entirely correct.
24.0 x days
11 X %
89 %
20.0 X days
13.0 %
1. Throughput time
2. Manufacturing cycle efficiency
3. Non-value-added throughput time
4. Delivery cycle time
5. New manufacturing cycle efficiency
2.7 days
0.8 day
3.7 days
↑
Transcribed Image Text:Management of Mittel Company wants to reduce the elapsed time from when a customer places an order to when it is shipped. It provided the following data for a recent quarter: Inspection time Wait time (from order to start of production) Process time Move time Queue time Required: 1. Compute the throughput time. Note: Round your answer to 1 decimal place. 0.5 day 16.0 days 2. Compute the manufacturing cycle efficiency (MCE) for the quarter. Note: Round your percentage answer to nearest whole percent. 3. What percentage of the throughput time was spent in non-value-added activities? Note: Round your percentage answer to nearest whole percent. 4. Compute the delivery cycle time. Note: Round your intermediate calculations and final answer to 1 decimal place. 5. If using Lean Production eliminates all queue time, what will be the new MCE? Note: Do not round intermediate calculations. Round your percentage answer to 1 decimal place. Answer is complete but not entirely correct. 24.0 x days 11 X % 89 % 20.0 X days 13.0 % 1. Throughput time 2. Manufacturing cycle efficiency 3. Non-value-added throughput time 4. Delivery cycle time 5. New manufacturing cycle efficiency 2.7 days 0.8 day 3.7 days ↑
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