(Throughput) The Chocolate Bar Company has historically evaluated divisional performance exclusively on financial measures. Top managers have...

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(Throughput) The Chocolate Bar Company has historically evaluated divisional performance exclusively on financial measures. Top managers have become in¬ creasingly concerned with this approach and are now actively seeking alternative measures that more accurately assess success in the activities that generate value for customers. One promising measure is throughput. To experiment with an annual throughput measure, management has gathered the following historical information on one of its larger operating divisions:

Units started into production 200,000 Total good units completed 130,000 Total value-added hours of processing time 80,000 Total hours of divisional time 120,000

a. What is the manufacturing cycle efficiency of the division?

b. What is the process productivity of the division?

c. What is the process quality yield of the division?

d. What is the total throughput per hour?

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Financial Accounting

ISBN: 9780070891739

1st Canadian Edition

Authors: Robert Libby

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