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Hi, I’m stuck and need your help please.
Basic Rate: $6.80 * 35hrs per wk * 40 employees = $9520
OT: $9 x 3hrs * 40 emp= $1080
Total Lab Cost = $10600Total Units:
35hrs+3hrs OT= 38hrs/2hrs per unit = 19 units* 40 emp =760 unitsLab cost per unit $10600/760 units = $13.95
New Prod Improvement regime:
Basic Rate: $6.80 * 35hrs per wk * 40 employees = $9520So, this is where I got confused:
Total Units:
Standard time per unit = 120 mins
New time per unit 15 mins saved:
60/60min = 1
45/60min = 0.75
Total: 1.75 hrs per unit35 hrs/ 1.75hrs per unit = 20 units * 40 emp = 800 units
or
35hrs * 60mins = 2100 mins/ (120 mins -15mins saved = )105 mins per unit =
20 units * 40 emp = 800 unitsLab cost per unit $9520 / 800 units = $11.90
Which method is correct ? Thanks
I don’t know where have you found the question. I supposed it was from MA1 Lecture Notes, but it isn’t.
I can’t answer since i can’t see what the question is asking for and you have not mentioned the whole scenario.
Either correct the reference or write the full question. Because only then i’ll be able to answer you.
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