0thebetterthe costdriverexplains thecosttherefore

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: .048 hours d. Total time = hours Overhead charge = 32.768 × $20 = $655.36 Diff: 3 Terms: learning curve, cumulative avetime/inc unit-time learning model Objective: 6 AACSB: Analytical skills 170) Each time period of time before the employee can meet production standards. Management is unsure of the learning curve in its Mayberry operations but it knows the first job by a new employee averages 30 hours and the second job averages 24 hours. Assume Nursery all jobs to be equal in size. hires a new Required: employee, it must a. What is the learning-curve percentage, assuming the cumulative average-time method? wait for b. What is the time for a new employee to build 16 units with this learning curve using the cumulative average -time some method? You may use an index of -0.1520. Answer: Job Hours Cumulative Cumulative Average 1 30 30 30 2 24 54 27 a. Learning percentage = 27/30 = 0.90 b. Y = p Xq = 30 × 16-.1520 = 19.683 hours or 1 unit = 30 2 units = 30 × 0.9 = 27 4 units = 27 × 0.9 = 24.3 8 units = 24.3 × 0.9 = 21.87 16 units = 21.87 × 0.9 = 19.683 hours 16 × 19.683 = 314.9 hours Diff: 2 Terms: learning curve, cumulative average-time learning model Objective: 6 AACSB: Analytical skills 171) Joe's with the employee until the employee gains enough experience to meet production standards. Joe is unsure of the learning Copy curve in his operation, but he knows the first job by a new employee averages 40 minutes and the second job averages 32 Center minutes. Assume all jobs to be equal in size. hires a new Required: employee. Joe knows a. What is the learning-curve percentage, assuming the cumulative average-time method? he has to b. What is the time for a new employee to do 32 jobs with this learning curve using the cumulative average -time be patient method? You may use an index of -0.1520. Answer: Job Minutes Cumulative Cumulative Average 1 40 40 40 2 32 72 36 a. Learning percentage = 36/40 = 0.90 b. Y = p Xq = 40 × 16-.1520 = 23.62 minutes or 1 unit = 40 2 units = 40 × 0.9 = 36 4 units = 36 × 0.9 = 32.4 8 units = 32.4 × 0.9 = 29.16 16 units = 29.16 × 0.9 = 26.244 32 units = 26.244 × 0.9 = 23.62 minutes 32 × 23....
View Full Document

This note was uploaded on 12/12/2012 for the course SB 305 taught by Professor Brown during the Spring '08 term at Clarkson University .

Ask a homework question - tutors are online