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Cycle Time and Velocity, MCE Computador has a manufacturing plant in Des Moines that has the theoretical capablity to produce 246,000 laptops per quarter but
Cycle Time and Velocity, MCE Computador has a manufacturing plant in Des Moines that has the theoretical capablity to produce 246,000 laptops per quarter but currently produces 73,800 units. The conversion cost per quarter is $6,273,000. There are 61,500 production hours available within the plant per quarter. In addition to the processing minutes per unit used, the production of the laptops uses 11 minutes of move time, 18 minutes of wait time, and 4 minutes of rework time. (All work is done by cell workers.) Required: 1. Compute the theoretical and actual velocities (per hour) and the theoretical and actual cycle times (minutes per unit produced). If required, round to one decimal place. Theoretical Actual Velocity Cycle time 2. Compute the ideal and actual amounts of conversion cost assigned per laptop. If required, round your answers to the nearest cent. Assignment per unit (theoretically) Assignment per unit (actual) 3. Calculate MCE. If required, round your answer to two decimal places. laptops per hour minutes per laptop minutes per laptop
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