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and cold time as tirsts. Only firsts were packed for shipment. Seconds were sold only at the studio, and their number varied with the item being produced. Rarely were items of such inferior quality that they could not at least be sold as seconds. DUCTION TIME By closely watching the business over a six-week period, Felicia estimated that Giberson spent the times shown in Table 3 for each type of object blown. (Also shown in Table 3 is the typical production rate for a week.) Thus, wrapped tumblers were his higgest-volume item: On average, they took 15 minutes to blow and another 3 minutes to "finish." Giberson did all of the blowing and finishing by himself, although he mentioned to Felicia that he was considering hiring additional part-time labor to do some or all of the tinishing. Table 3 Production Times and Weekly Output Giberson worked a rigorous schedule from September through early Junc. During the summer, he spent about ten weeks traveling to trade shows where he exhibited his work, and he spent the remaining two weeks of the ycar vacationing in the mountains. Giberson sold firsts directly from his studio in response to customer orders received by phone, by mail, or though the Internet. He also received orders at trade shows. The individual prices are shown in Table 4. Sales were slightly seasonal, and Giberson almost always had at least a two-week backlog. Seconds, which were available to customers who visited his small studio, sold for the same price as firsts. Nok: These amounts do not include shipping charges. Orders were prepaid and included an estimated shipping charge. W. ACC 340-A -Gibersons Glass Studios Case Comments Final Design Layout References Mailings Review View \& Tell me v \begin{tabular}{|c|c|} \hlineA3BbCcDdEe & AaBbCcDdEe \\ \hline Normal & No Spacine \\ \hline \end{tabular} Giberson's annual operating cost amount to more than his desire salary. This could look like an issue to many people. When you invest your time and money into a business you have to understand that your profit will not always be greater than your operating cost expenses. 2. The term "productive time" means the "minutes" Mr. Giberson is producing a product. According to Mr. Giberson, how much time is his productive time each week? 2.1 Additional comments to #2 3. Using the "Production Times/Weekly Output" report (Table 3) in the case, how many minutes did Mr. Giberson actually devote to weekly production? 3.1 Additional comments to \#3