A. Compute for throughput time

B. Compute for Value added time

C. Compute for Manufacturing Efficiency

Assume the same data for PARE Company in Illustrative Problem 2 and the actual data for the years 2021 are as follows: (Assume that production = units sold ) Sales price/unit Materials used (kg) 2021 P 53.75 6,750 Materials cost / kg P7 Direct labor hours 6,480 P 32.50 Direct labor cost/hr PARE Company monitored the efficiency of processes from receiving customer orders until they are shipped to customers. Average times incurred per order processed are as follows: Time (in days) Wait time Process time Inspection time Move time Queue time 2021 4 2 1.5 .25 .80