Managerial Accounting
Managerial Accounting
17th Edition
ISBN: 9781260247787
Author: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
Publisher: RENT MCG
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Chapter 12, Problem 12P

1a.

To determine

The utilization rate is a performance indicator used to make plans and determine the company's success. It is used by manufacturing companies. The utilization rate of equipment can be increased by avoiding machine breakdowns and reducing average setup times.

:

The utilization rate.

2a.

To determine

The difference between the output power and input power is termed loss. The utilization loss can occur due to regular unplanned maintenance, machine breakdown, or higher average setup times.

:

The utilization loss during the week.

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