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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
A manufacturing cell has the theoretical capacity to produce 360,000 stereo speakers per quarter. The conversion cost per quarter is $720,000. There are 60,000 production hours used within the cell per quarter.
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1.  Â
Compute the theoretical velocity (per hour) and the theoretical cycle time (min- utes per unit produced).
2.   Compute the ideal amount of conversion cost that will be assigned per speaker.
3.   Speaker production uses 12 minutes of move time, 10 minutes of wait time, and 18 minutes of inspection time. Compute the amount of conversion cost actually assigned to each speaker. Now calculate MCE.
4.   Based on your analysis in Requirements 2 and 3, how much non-value-added time is being used? How much is it costing per speaker?
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