Chapter 18, Problem 55P

Operational Performance Measures

Zuma Company manufactures surfboards. The controller prepares a weekly production efficiency report and sends it to corporate headquarters. The data compiled in these reports for a recent six-week period follow:

Required

1. a.      Write a memo to the company president evaluating the plant’s performance.
2. b.      If you identify any areas of concern in your memo, indicate an appropriate action for management to take. Indicate any additional information you would like to have to make your evaluation.