
Cornerstones of Managerial Accounting 6th Edition by Maryanne Mowen,Don Hansen ,Dan Heitger
Edition 6ISBN: 978-1305103962
Cornerstones of Managerial Accounting 6th Edition by Maryanne Mowen,Don Hansen ,Dan Heitger
Edition 6ISBN: 978-1305103962 Exercise 15
( Appendix 12A ) Manufacturing Cycle Efficiency
Kurena Company provided the following information on one of its factories:
Maximum units produced in a quarter: 180,000 units
Actual units produced in a quarter: 112,500 units
Hours of cell production labor in a quarter: 30,000 hours
Theoretical cycle time: 10 minutes per unit
Actual cycle time: 16 minutes per unit
Required:
1. Calculate the amount of processing time per unit and the amount of nonprocessing time per unit.
2. Calculate the MCE.
Kurena Company provided the following information on one of its factories:
Maximum units produced in a quarter: 180,000 units
Actual units produced in a quarter: 112,500 units
Hours of cell production labor in a quarter: 30,000 hours
Theoretical cycle time: 10 minutes per unit
Actual cycle time: 16 minutes per unit
Required:
1. Calculate the amount of processing time per unit and the amount of nonprocessing time per unit.
2. Calculate the MCE.
Explanation
• Cycle time is the length of time it ta...
Cornerstones of Managerial Accounting 6th Edition by Maryanne Mowen,Don Hansen ,Dan Heitger
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