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A workstation has a production rate of 1 0 0 parts / hour and runs for 7 hours. The direct manufacturing cost is $ 4
A workstation has a production rate of partshour and runs for hours. The direct manufacturing cost is $part Only of the parts conform to specifications firstpass yield From the nonconforming parts, can be reworked into an acceptable product, and the rest is scrapped; the cost of this additional processing is $part
a How many good parts are produced during the shift?
b What is the manufacturing cost per shift and per good part produced?
An improvement project reduced variability and the firstpass yield increased to The percent on defective parts that can be reworked remains at After this improvement:
c How many good parts are produced per shift?
d What is the manufacturing cost per good part produced, in total per good part produced?
e What is the reduction in manufacturing cost per part in US$ and in percent
f What is the increase in production per shift in units and in percent
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