Rotan Corporation keeps careful track of the time required to fill orders. The times recorded for a particular order appear below: Hours Move time 3.4 Wait time 11.1 Queue time 5.3 Process time 1.4 Inspection time 0.4 The throughput time was:

Rotan Corporation keeps careful track of the time required to fill orders. The times recorded for a particular order appear below: Hours Move time 3.4 Wait time 11.1 Queue time 5.3 Process time 1.4 Inspection time 0.4 The throughput time was:

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter12: Preparing Payroll Records

Section12.1: Calculating Employee Earnings

Problem 2AYU

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Question

Rotan Corporation keeps careful track of the time required to fill orders. The times recorded for a particular order appear below:
Hours
Move time
3.4
Wait time
11.1
Queue time
5.3
Process time
1.4
Inspection time
0.4
The throughput time was:

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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. 0.6 day 16.7 days 3.1 days 0.5 day 4.1 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. 1. Throughput time 2.…