12. Crazy Tubb Thumpers uses a level plan to produce its snowshoe covers. Beginning inventory for January
Question:
12. Crazy Tubb Thumpers uses a level plan to produce its snowshoe covers.
Beginning inventory for January is zero. The sales plan for January, February, and March is as follows:
a. Graph cumulative production for a level operations plan of 10,000 units per month. Show cumulative sales plan for the months January through March and indicate the ending inventory for March.
b. Consider the following additional data for Crazy Tubb Thumpers:
Employment = 9 people.
Production = 1,000 units/month/employee (regular time).
Standard hours/months = 166 hours (regular time).
Regular-time labor rate = $1,200/month.
Overtime rate = 1.5 times regular-time rate.
Assuming a production rate of 10,000 units per month, what is the labor cost of one month’s production at Crazy Tubb Thumpers?
Step by Step Answer:
Manufacturing Planning And Control For Supply Chain Management The CPIM Reference
ISBN: 9781265138516
3rd Edition
Authors: F. Robert Jacobs, William Lee Berry, D. Clay Whybark, Thomas E. Vollmann