Exeter corporation has recently begun a continuous

Assignment Help Accounting Basics

Reference no: EM13566891

Exeter Corporation has recently begun a continuous improvement campaign. As a consequence, there have been many changes in operating procedures. Progress has been slow, particularly in trying to develop new performance measures for the factory. Management has been gathering the following data over the past four months: Month 1 2 3 4 Quality control measures: Customer complaints as a percentage of units sold 1.4% 1.3% 1.1% 1.0% Warranty claims as a percentage of units sold 2.3% 2.1% 2.0% 1.8% Defects as a percentage of units produced 4.6% 4.2% 3.7% 3.4% Material control measures: Scrap as a percentage of total cost 3.2% 2.9% 3.0% 2.7% Machine performance measures: Percentage of machine avaliability 80% 82% 81% 79% Use as a percentage of availability 75% 73% 71% 70% Average setup time (hours) 2.7 2.5 2.5 2.6 Delivery performance measures:

Throughput time ?Manufacturing cycle efficiency? Delivery cycle time? Percentage of on-time deliveries 84% 87% 91% 95% The president has attended conferences at which the importance of throughput time, manufacturing cycle efficiency, and delivery cycle time were stressed, but no one at the company is sure how they are computed. The data to compute these measures have been gathered and appear below: Month 1 2 3 4 Wait time per order before start of production, in days 16.7 15.2 12.3 9.6 Inspection time per unit, in days 0.1 0.3 0.6 0.8 Process time per unit, in days 0.6 0.6 0.6 0.6 Queue time per unit, in days 5.6 5.7 5.6 5.7 Move time per unit, in days 1.4 1.3 1.3 1.4 Required: 1. For each month, comput the following performance measures: a. Throughput time. b. Manufacturing cycl efficiency (MCE). c. Delivery cycle time.

Reference no: EM13566891

Questions Cloud

Analyze and evaluate one major drawback to air traffic : analyze and evaluate one major drawback to air traffic control automation. then discuss the degradation in operational

Sony introduces a new compact music player to compete with : sony introduces a new compact music player to compete with apples ipod that carries a two-year warranty against

Consider a social issue in which you are interested it : consider a social issue in which you are interested. it could be human freedom sexuality deviance crime social mobility

If interest rates suddenly rise by 2 percent what is the : both bond bill and bond ted have 9.8 percent coupons make semiannual payments and are priced at par value. bond bill

Exeter corporation has recently begun a continuous : exeter corporation has recently begun a continuous improvement campaign. as a consequence there have been many changes

Intermountain delivery company acquired an adjacent lot to : determining cost of landintermountain delivery company acquired an adjacent lot to construct a new warehouse paying

Gruden company produces golf discs which it normally sells : gruden company produces golf discs which it normally sells to retailers for 7.09 each. the cost of manufacturing 18600

One of the first prison systems was called the pennsylvania : one of the first prison systems was called the pennsylvania system. the ideology of this system was used in the eastern

Office world inc has cash and carry customers and credit : office world inc. has cash and carry customers and credit customers. office world estimates that 25 of monthly sales

User Account

All Pages