CKC manufactures two different types of toys (A and sold in 1000-count boxes) that are manufactured and assembled on three different workstations (W X and Y) using a small- batch process (see Figure). Botch setup times are negligible. The flowchart denotes the path each product follows through the manufacturing process, and each products price, demand per week, and processing times per unit are indicated as well Purchased parts and row materials consumed during production are represented by inverted triangles CKC can make and sell up to the limit of its demand per week no penalties are incurred for not being able to meet all the demand fach workstation is stoffed by a worker who is dedicated to work on that workstation alone and is paid $6 per hour. Total labor costs per week are fixed. Variable overhead costs are $1,500/week. The plant operates one 8-hour shifts per day, 5 days per week. The senior management at CXC is concerned with the existing copocity limitation, so they want to accept the mix of orders that maximizes the company's profits Traditionally, CKC hos utilized a method whereby decisions are made to produce as much of the product with the highest contribution morgin as possible (up to the limit of its demand), followed by the next highest contribution morgin product and so on until no more copacity is available Because copocity is limited choosing the proper product mix is crucial. The newly hired production supervisor is an avid follower of the TOC philosophy and the bottleneck method for scheduling He believes that profitability con indeed be approved if bottleneck resources are exploited to determine the product mix a) Which of the three workstations, Wx, or Y. hos the highest aggregate workfood, and thus serves as the bottleneck for CXIC? P w P www Pr fe b) What is the profit it the traditional contribution morgin mathod is used for determining CXC's product mo H Product Answer has a higher contribution margin/unit units The best product mix according to this traditional approach is then Answed of Answed and Answer units of Answer 3 (3) Ar Answer Rawls (5) Pechind part (1) Answ Aswa Labor ( Overbed Prola (3) Ass Answe e) What is the profit it the bottleneck method is used for selecting the product mi? When ordered from highest to lowest contribution margin/minute at the bottleneck, the manufacturing sequence of these products is Answer units The best product mix according to this bottleneck based approach is then Answe of Answe units of Answer and Answer CKC manufactures two different types of toys (A and sold in 1000-count boxes) that are manufactured and assembled on three different workstations (W X and Y) using a small- batch process (see Figure). Botch setup times are negligible. The flowchart denotes the path each product follows through the manufacturing process, and each products price, demand per week, and processing times per unit are indicated as well Purchased parts and row materials consumed during production are represented by inverted triangles CKC can make and sell up to the limit of its demand per week no penalties are incurred for not being able to meet all the demand fach workstation is stoffed by a worker who is dedicated to work on that workstation alone and is paid $6 per hour. Total labor costs per week are fixed. Variable overhead costs are $1,500/week. The plant operates one 8-hour shifts per day, 5 days per week. The senior management at CXC is concerned with the existing copocity limitation, so they want to accept the mix of orders that maximizes the company's profits Traditionally, CKC hos utilized a method whereby decisions are made to produce as much of the product with the highest contribution morgin as possible (up to the limit of its demand), followed by the next highest contribution morgin product and so on until no more copacity is available Because copocity is limited choosing the proper product mix is crucial. The newly hired production supervisor is an avid follower of the TOC philosophy and the bottleneck method for scheduling He believes that profitability con indeed be approved if bottleneck resources are exploited to determine the product mix a) Which of the three workstations, Wx, or Y. hos the highest aggregate workfood, and thus serves as the bottleneck for CXIC? P w P www Pr fe b) What is the profit it the traditional contribution morgin mathod is used for determining CXC's product mo H Product Answer has a higher contribution margin/unit units The best product mix according to this traditional approach is then Answed of Answed and Answer units of Answer 3 (3) Ar Answer Rawls (5) Pechind part (1) Answ Aswa Labor ( Overbed Prola (3) Ass Answe e) What is the profit it the bottleneck method is used for selecting the product mi? When ordered from highest to lowest contribution margin/minute at the bottleneck, the manufacturing sequence of these products is Answer units The best product mix according to this bottleneck based approach is then Answe of Answe units of Answer and
