Bundle: Managerial Accounting: The Cornerstone of Business Decision-Making, Loose-Leaf Version, 7th + CengageNOWv2, 1 term (6 months) Printed Access Card
7th Edition
ISBN: 9781337384285
Author: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher: Cengage Learning
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Chapter 11, Problem 18BEA
Use the following information for Brief Exercises 11-17and 11-18:
Indy Company has the following data for one of its manufacturing plants:
Maximum units produced in a quarter (3-month period): 250,000 units Actual units produced in a quarter (3-month period): 200,000 units Productive hours in one quarter: 25,000 hours
11-18 (Appendix 11A) Calculating Manufacturing Cycle Efficiency
Refer to the information of Indy Company above. The actual cycle time for Indy Company is 7.5 minutes, and the theoretical cycle time is 6 minutes.
Required:
1. Calculate the amount of processing time and the amount of nonprocessing time.
2. Calculate the MCE. (Round to one decimal place.)
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Delko Company has the following data for one of its manufacturing plants:
Maximum units produced in a quarter (3-month period): 250,000 units
Actual units produced in a quarter (3-month period): 210,000 units
Productive hours in one quarter: 25,000 hours
The actual cycle time for Indy Company is 7.14 minutes, and the theoretical cycle time is 6 minutes.
Required:
1. Calculate the amount of processing time and the amount of nonprocessing time. If required, round your answers to
two decimal places.
Processing time
minutes
Nonprocessing time
minutes
2. Calculate the MCE. If required, round your answer to nearest whole number.
Calculating Manufacturing Cycle Efficiency
Indy Company has the following data for one of its manufacturing plants:
Maximum units produced in a quarter (3-month period): 250,000 units
Actual units produced in a quarter (3-month period): 192,000 units
Productive hours in one quarter: 25,000 hours
The actual cycle time for Indy Company is 7.81 minutes, and the theoretical cycle time is 6 minutes.
Required:
1. Calculate the amount
processing time and the amount of nonprocessing time.
required, rour
your answers to
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ecimal places.
Processing time
minutes
Nonprocessing time
minutes
2. Calculate the MCE. If required, round your answer to nearest whole number.
%
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Chapter 11 Solutions
Bundle: Managerial Accounting: The Cornerstone of Business Decision-Making, Loose-Leaf Version, 7th + CengageNOWv2, 1 term (6 months) Printed Access Card
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