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- Illinois Furniture, Inc., produces all types of office furniture. The "Executive Secretary" is a chair that has been designed using ergonomics to provide comfort during long work hours. The chair sells for $130. There are 480 minutes available during the day, and the average daily demand has been 48 chairs. There are eight tasks: Task A BCDEFGH с Performance Time (mins) 5 8 ∞ CO CO LO ∞0 co 6 6 5 8 7 6 This exercise only contains part a. a) The correct precedence diagram is present in Task Must Follow Task Listed Below A, B C D E E F, G Figure 1 @ Figure 2 Figure 3 Go-0-0.80Collins Little Company has a staff of 4 employees, each working 8 hours per day at a rate of$20/hour. Their overhead expenses are $200/day. Collins processes and closes on 12 titleseach day. They are considering purchasing a computerized title search system that will allowthe processing of 20 titles per day. With the new system, they could cut their staff to 2employees working the same hours at the same pay, but their overhead expenses woulddouble to $400 per day.a. Compute the labor productivity with the old system (in titles / worker hour).b. Compute the labor productivity with the new system (in titles / worker hour).c. Compute the multifactor productivity with the old system (in titles / dollar).d. Compute the multifactor productivity with the new system (in titles / dollar)The Morning Brew Coffee Shop sells Regular, Cappuccino, and Vienna blends of coffee. The shop's current daily labor cost is $320, the equipment cost is $125, and the overhead cost is $225 Daly demands, along with price and material costs per beverage, are given below: Regular Coffee Beverages sold Price per beverage 400 $2.00 Material per beverage (3) $0.50 Cappuccino 150 $3.00 $0.75 Vienna coffee 100 $4.00 $1.25 Harald Luckerbauer, the manager at Morning Brew Coffee Shop, would like to understand how adding Eiskaffee (a German coffee beverage of chilled coffee, milk, sweetener, and vanila ice cream) will alter the shop's productivity. Her market research shows that Eiskaffee will bring in new customers and not cannibalize current demand. Assuming that the new equipment is purchased before Eiskaffee is added to the menu, Harald has developed new average daily demand and cost projections. The new equipment cost is $200, and the overhead cost is $350. Modified daily demands, as well as…
- The M-N plant manufactures two different products: M and N. Selling prices and weekly market demands are shown in the following diagram. Each product uses raw materials with costs as shown. The plant has three different machines: A, B, and C. Each performs different tasks and can work on only one unit of material at a time. Resources: A, B, C (one each) Availability: 3,800 min./week Operating expense: $12,000/week Product M $190/unit 120 units/week Machine A Machine C Machine B 15 min./unit A 20 min./unit RM-1 $60/unit Product N $200/unit 80 units/week 15 min./unit B 10 min./unit RM-2 $40/unit B 10 min./unit RM-3 $40/unit Process times for each task are shown in the diagram. Each machine is available 3,800 minutes per week. There are no "Murphys" (major opportunities for the system to foul up). Setup and transfer times are zero. Demand is constant. Operating expenses (including labor) total a constant $12,000 per week. Raw materials are not included in weekly operating expenses. a.…Cara Ryder manages a ski school in a large resort and is try-ing to develop a schedule for instructors. The instructorsreceive little salary and work just enough to earn room andboard. They receive free skiing and spend most of their freetime tackling the resort’s notorious double black-diamondslopes. Hence, the instructors work only 4 days a week. Oneof the lesson packages offered at the resort is a 4-day begin-ner package. Ryder likes to keep the same instructor with agroup over the 4-day period, so she schedules the instructorsfor 4 consecutive days and then 3 days off. Ryder uses years ofexperience with demand forecasts provided by managementto formulate her instructor requirements for the upcomingmonth.a. Determine how many instructors Ryder needs to employ.Give preference to Saturday and Sunday off. (Hint: Lookfor the group of 3 days with the lowest requirements.)b. Specify the work schedule for each employee. How muchslack does your schedule generate for each day?The data collected in running a machine, the cost of which is Rs 60,000 are given below: Year 1 2 3 4 5 Resale Value 42,000 30,000 20,400 14,400 9,650 Cost of spares 4,000 4,270 4,880 5,700 6,800 Cost of labour 14,000 16,000 18,000 21,000 25,000 Determine the optimum period for replacement of the machine.
- QuestionByron Sports is a manufacturer of sportswear. It produces all of its products in one department using a process costing system.The information for the current month is as follows:Beginning work in process (30% complete as to conversion cost) 12,000 unitsUnits started 90,000 unitsUnits completed and transferred out ?Ending work in process (70% complete as to conversion) 8,000 unitsCosts:Beginning work-in-process direct materials $28,800Beginning work-in-process conversion $5,040Direct materials added during month $216,000Conversion costs incurred during the month $139,200Direct materials are added at the beginning of the process. Conversion costs are incurred uniformlythroughout the production process. Costing is handled on a FIFO basis Required:a. Prepare a production cost worksheet using 5 steps approach.b. Under what conditions would a process costing system be more appropriate than a job order costing system? Explain.Supertronics, Inc., would like to know how the firm’s profit-ability is altered by product mix. Currently, product mix isdetermined by giving priority to the product with the highestper-unit contribution margin (defined as the difference be-tween price and material cost). Details on the Supertronicsproduct line, including processing time at each workstation,follow:a. Assume that Supertronics has 5,500 minutes of capacityavailable at each workstation each week. Develop a linearprogram to define the production mix that maximizescontribution margin.b. Solve your formulation using a computer package such asPOM for Windows. c. Given your solution for part (b), which machine is thebottleneck?d. How would your formulation and solution in part(b) change if 50 units of each product were alreadycommitted to customers and thereby had to beproduced?A company has a factory that is designed so that it is most efi cient (average unit cost is minimized) when producing 15,000 units of output each month. However, it has an absolute maximum output capability of 17,250 units per month, and can produce as little as 7,000 units per month without corporate headquarters shifting production to another plant. If the factory produces 10,925 units in October, what is the capacity utilization rate in October for this factory?
- Atlas Engineering Ltd. Accepts a variety of jobs which require both and machine operations. The budgeted Profit & Loss Account for the period 2018-19 is as follows: (in lakhs of dollars) Sales 75 Cost: Direct Material 10 Direct Labour 5 Prime Cost 15 Production Overheads 30 Production Cost 45 Administration, Selling and Distribution Overheads 15 60 Profit 15 Other budgeted data : Labour hours for the period 25,000 Machine hours for the period 15,000 No. Of jobs for the period 300 An enquiry has been received recently from a customer and the production department has prepared the following estimate of the prime cost required for the job : Direct Material $ 2,500 Direct Labour $ 2,000 Prime Cost $ 4,500 Labour hours required = 80 Machine hours required = 50 You are required to: (a) Calculate by the different methods, six absorption rates for absorption of production overhead and comment on the suitable of each. (b) Calculate the production overhead cost of the order based on each of the…II. TALENT MANAGEMENTPlusCoop is a company that manages co-working space rentals, or popular known as co-working spaces. Established since 2014, PlusCoop offers rental services a workspace intended for freelancers, entrepreneurs, and business operators small medium. The space offered consists of 3 types:1. 4 units of communal workspace - large space, maximum capacity of 40 people, rental mechanism per day (24hours) and per person.2. 20 units of exclusive workspace - enclosed space, maximum capacity of 2 people per room, rental mechanismper month and per room.3. 4 units of conference room - large room, maximum capacity of 20 people, rental mechanism per day, withprojector and screen facilities. Armed with wi-fi facilities, whiteboard, free coffee-tea station, and a strategic location in the city center, During 4 years of operation, PlusCoop has succeeded in becoming a very popular co-working space by their target consumers. However, the pandemic that hit Indonesia in 2019 resulted in…A manufacturing company makes two types of water skis, a trick ski and a slalom ski. The relevant manufacturing data are given in the table. Labor-Hours per Ski Department Fabricating Finishing Answer parts (A), (B), and (C) below. Trick Ski 12 1 Slalom Ski 8 1 Maximum Labor-Hours Available per Day 480 48 (A) If the profit on a trick ski is $40 and the profit on a slalom ski is $30, how many of each type of ski should be manufactured each day to realize a maximum profit? What is the maximum profit? The maximum profit is $ The maximum occurs when trick skis and slalom skis are produced.