1. Cantrell Manufacturing just purchased an evolutionary metal stamping machine. It operated for 130 hours during the...
Question:
1. Cantrell Manufacturing just purchased an evolutionary metal stamping machine. It operated for 130 hours during the first month. Management wants to know the efficiency and effectiveness of the machine. The production supervisor has provided you with the following statistics:
Planned output: 80 product components per hour Power usage planned: 600 kWh per running hour Actual output: 10,800 product components Actual power used: 80,000 kWh Required:
a. Calculate the planned output for 130 operating hours.
b. Calculate the degree of effectiveness of the machine in its first week.
c. Calculate planned efficiency for the machine.
d. Calculate the actual efficiency of the machine in its first week.
e. Comment on the machine’s performance.+
Step by Step Answer:
Cost Accounting Traditions And Innovations
ISBN: 9780324180909
5th Edition
Authors: Jesse T. Barfield, Cecily A. Raiborn, Michael R. Kinney