EXERCISE 10-15 (CONTINUED) ALTERNATIVE SOLUTION

1. - SOLUTIONS TO QUESTION MANAGERIAL ACCOUNTING CH10 STANDARD COST AND THE BALANCE SCORECARD
SOLUTIONS TO QUESTION MANAGERIAL ACCOUNTING CH10 STANDARD COST AND THE BALANCE SCORECARD
1. a., b., and c. Month 1 2 3 4 Throughput time in days: Process time ... 2.1 2.0 1.9 1.8 Inspection time... 0.8 0.7 0.7 0.7 Move time ... 0.3 0.4 0.4 0.5 Queue time during production... 2.8 4.4 6.0 7.0 Total throughput time... 6.0 7.5 9.0 10.0 Manufacturing cycle efficiency (MCE): Process time ÷ Throughput time ... 35.0% 26.7% 21.1% 18.0%Delivery cycle time in days: Wait time to start of production... 9.0 11.5 12.0 14.0 Throughput time ... 6.0 7.5 9.0 10.0 Total delivery cycle time... 15.0 19.0 21.0 24.0