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Please help with this question (I will just write numbers, hope you can find whole question).
TA ratio (X=2.4; Y=3.0)
Machine M time per unit (bottleneck res. also) (X=15min; Y=30min)
Machine T time per unit (X=30min; Y=20min)
extra prod.capacity is available, 10 extra machine M h and 10 extra machine T h.
How many add.units of output would be produced in order to max pf?In answer there in no calculation for answer, so I have trouble to get what they did.
Thank you in advance,
I have found it (although I don’t understand why you say there is no calculation in the answer – the answer is explained in detail).
It is machine M that is the bottleneck and therefore the throughput accounting ratio will have been calculated on the times for machine M. Also, it is the extra time available for machine M which allow more units to be produced.
Y has the highest throughput accounting ratio and therefore the extra 10 hours will be used to produce more Y’s. Since each Y takes 30 minutes (1/2 an hour), then in 10 hours they can produce 20 more Y’s.
Have you watched my free lecture on throughput accounting?
Our free lectures are a complete course for Paper F5 and cover everything needed to be able to pass the exam well.
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