Answered step by step
Verified Expert Solution
Link Copied!
Question
1 Approved Answer

Jefferson Companys demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting

Jefferson Companys demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting the company from producing and selling additional units.

Actual run time this week 5,655 minutes
Machine time available per week 6,500 minutes
Actual run rate this week 9.12 units per minute
Ideal run rate 12.00 units per minute
Defect-free output this week 9,675 units
Total output this week (including defects) 12,900 units

Required: 1. Compute the utilization rate. (Round your answer to 2 decimal places.) 2. Compute the efficiency rate. (Round your answer to 2 decimal places.) 3. Compute the quality rate. (Round your answer to 2 decimal places.) 4. Compute the overall equipment effectiveness (OEE). (Do not round intermediate calculations. Round your final answer to 3 decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image
Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Digital Transformation Of Auditing And The Evolution Of The Internal Audit

Authors: Nabyla Daidj

1st Edition

1032103914, 978-1032103914

More Books

Students explore these related Accounting questions