Required information [The following information applies to the questions displayed below.] Ashley Technology Inc. manufactures a scrambling device for cellular telephones. The device's main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley's operating data for 2 years are as follows: Units manufactured Number of CT140 used Number of direct labor hours spent Cost of CT140 per unit Direct labor wage rate per hour otal productivity 2019 1,620,000 1,710,000 270,000 168 68 $ $ Assume that fixed manufacturing costs are $62 million in both 2018 and 2019. 2019 $ $ equired: Compute the total productivity ratios for 2018 and 2019. (Round your answers to 4 decimal places.) 2018 2018 1,920,000 1,960,000 320,000 147 74

Required information [The following information applies to the questions displayed below.] Ashley Technology Inc. manufactures a scrambling device for cellular telephones. The device's main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley's operating data for 2 years are as follows: Units manufactured Number of CT140 used Number of direct labor hours spent Cost of CT140 per unit Direct labor wage rate per hour otal productivity 2019 1,620,000 1,710,000 270,000 168 68 $ $ Assume that fixed manufacturing costs are $62 million in both 2018 and 2019. 2019 $ $ equired: Compute the total productivity ratios for 2018 and 2019. (Round your answers to 4 decimal places.) 2018 2018 1,920,000 1,960,000 320,000 147 74

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 38P

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Required information Skip to question [The following information applies to the questions displayed below.] Ashley Technology Incorporated manufactures a scrambling device for cellular telephones. The device’s main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley’s operating data for 2 years are as follows: 2022 2021 Units manufactured 800,000 1,050,000 Number of CT140 used 910,000 1,060,000 Number of direct labor hours spent 160,000 210,000 Cost of CT140 per unit $ 157 $ 136 Direct labor wage rate per hour $ 57 $ 63 Required: 1. Compute the total productivity ratios for 2021 and 2022. Assume that fixed manufacturing costs are $51 million in both 2021 and 2022. (Round your answers to 4 decimal places.)
Required information [The following information applies to the questions displayed below.] Ashley Technology Inc. manufactures a scrambling device for cellular telephones. The device's main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley's operating data for 2 years are as follows: Units manufactured Number of CT140 used. Number of direct labor hours spent Cost of CT140 per unit Direct labor wage rate per hour Direct materials Direct labor 2019 2019 960,000 1,050,000 240,000 per unit per hour $ $ Required: 1. Compute the partial operational productivity for both direct materials and direct labor for each of the 2 years. (Round your answers to 4 decimal places.) 165 $ 65 $ 2018 2018 1,160,000 1,190,000 290,000 per unit per hour 144 71
Fast Wire Incorporated manufactures a scrambling device for cellular phones. The main component of the scrambling device is a very delicate part—DTV-12. DTV-12 requires careful handlings during manufacturing. Once damaged, the part must be discarded. Only skilled laborers are hired to manufacture and install DTV-12. Damages still occur, however. The following are the operating data of Fast Wire Incorporated for 2021 and 2022 relative to the insertion of DTV-12. 2021 2022 Number of phones manufactured 600,000 780,000 Units of DTV-12 used 960,000 1,072,500 Direct labor hours for DTV-12 insertion 1,800 2,600 Total cost of DTV-12 units $ 1,443,750 $ 2,333,750 Direct labor wage rate per hour $ 67 $ 82 The partial operational productivity ratio of DTV-12 in 2022 is: Multiple Choice 0.63 per unit. 0.73 per unit. 1.92 per unit. 3.00 per unit. 3.33 per unit.
Fast Wire Incorporated manufactures a scrambling device for cellular phones. The main component of the scrambling device is a very delicate part-DTV-12. DTV-12 requires careful handlings during manufacturing. Once damaged, the part must be discarded. Only skilled laborers are hired to manufacture and install DTV-12. Damages still occur, however. The following are the operating data of Fast Wire Incorporated for 2021 and 2022 relative to the insertion of DTV-12. Number of phones manufactured Units of DTV-12 used Direct labor hours for DTV-12 insertion Total cost of DTV-12 units Direct labor wage rate per hour The partial operational productivity ratio of DTV-12 in 2021 is: A. 0.65 per unit. B. 0.75 per unit. C. 1.94 per unit. D. 3.02 per unit. E. 3.35 per unit. 2021 612,000 2022 781,200 941,538 1,900 1,073,500 2,710 $1,444,250 $70.00 $ 2,334,250 $86
Ashley Technology Inc. manufactures a scrambling device for cellular telephones. The device's main component is a delicate part, CT140. CT140 is easily damaged and requires careful handling. Once damaged, it must be discarded. The firm hires only skilled laborers to manufacture and install CT140; however, some are still damaged. Robotic instruments process all other parts. Ashley's operating data for 2 years are as follows: Units manufactured Number of CT140 used Number of direct labor hours spent Cost of CT140 per unit Direct labor wage rate per hour 2019 $ S 750,000 900,000 150,000 156 56 2018 1,000,000 1,050,000 200,000 $ 135 $ 62 Assume that fixed manufacturing costs are $50 million in both 2018 and 2019. Required: 1. Compute the total productivity ratios for 2018 and 2019.
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