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The same production machine is used to produce a batch of parts that each has a starting material cost of C m = $ 2
The same production machine is used to produce a batch of parts that each has a starting material cost of $ Batch quantity The actual processing time in the operation min. Time to load and unload each workpiece min. Tool cost $ and each tool can be used for pieces before it is changed, which takes min. Before production can begin, the machine must be set up which takes hours. Hourly wage rate of the operator $ and the applicable labor overhead rate Determine the:
a cycle time for the piece,
b avg. production rate when setup time is figured in and
c cost per piece
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