Gleen Company Has a JIT System in Place

Essay

Gleen Company has a JIT system in place. Each manufacturing cell is dedicated to the production of a single product or major subassembly. One cell, dedicated to the production of guitar pickups, has four operations: machining, finishing, assembly, and qualifying (testing).
For the coming year, the pickup cell has the following budgeted costs and cell time (both at theoretical capacity):
Cell time: 8,000 hours
Theoretical output: 60,000 pickups
During the year, the following actual results were obtained:
Actual cell time: 8,000 hours
Actual output: 50,000 pickups
A. Compute the theoretical velocity for the pickup cell per hour.
B. Compute the theoretical cycle time in minutes.
C. Compute the actual velocity for the pickup cell per hour.
D. Compute the actual cycle time in minutes.