Required:1. Determine the amount of value-added and non-value-added lead time and the value-added ratio in this process for an average stereo unit in a batch of 45units. Round percentages to one decimal place. Categorize the non-value-added time into wait and move time.39 ✓ min.Value-added lead timeNon-value-added lead time:Wait time lead timeMove time lead timeTotal non-value-added lead timeTotal lead timeValue-added ratio (as a percent)2. Move time in this process could best be reduced by:X min.30 min.X min.1,810 min.X%a. Doing nothing.b. Changing the layout from a process orientation to a product orientation.c. Increasing batch sizes.d. Eliminating the testing step.e. Hiring more workers. Lead TimeSound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, andshipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Eachoperator is responsible for soldering components according to a given set of instructions. Operators work on batches of 45 printed circuit boards. Each boardrequires 5 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This movetakes 10 minutes to complete.The final assembly for each stereo unit requires 15 minutes and is also done in batches of 45 units. A batch of 45 stereos is moved into the test building, whichis across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setuprequires 25 minutes. The units wait while the setup is performed. In the final test, the 45-unit batch is tested one at a time. Each test requires 9 minutes. Thecompleted batch, after all testing, is sent to shipping for packaging and final shipment to customers. A complete batch of 45 units is sent from testing toshipping. The Shipping Department is located next to testing. Thus, there is no move time between these two operations. Packaging and labeling requires 10minutes per unit.

Lead time -is the amount of time that describes the time required in completing a particular process…

1. Determine the amount of value-added and non-value-added lead time and the value-added ratio in this process for an average stereo unit in a batch of 45 units. Round percentages to one decimal place. Categorize the non-value-added time into wait and move time. Value-added lead time 39 ✓ min. Non-value-added lead time: Wait time lead time Move time lead time Total non-value-added lead time Total lead time Value-added ratio (as a percent) 2. Move time in this process could best be reduced by: a. Doing nothing. b. Changing the layout from a process orientation to a product orientation. c. Increasing batch sizes. d. Eliminating the testing step. e. Hiring more workers. b X min. 30 min. X min. 1,810 min. X%

1. Determine the amount of value-added and non-value-added lead time and the value-added ratio in this process for an average stereo unit in a batch of 45 units. Round percentages to one decimal place. Categorize the non-value-added time into wait and move time. Value-added lead time 39 ✓ min. Non-value-added lead time: Wait time lead time Move time lead time Total non-value-added lead time Total lead time Value-added ratio (as a percent) 2. Move time in this process could best be reduced by: a. Doing nothing. b. Changing the layout from a process orientation to a product orientation. c. Increasing batch sizes. d. Eliminating the testing step. e. Hiring more workers. b X min. 30 min. X min. 1,810 min. X%

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter13: Lean Manufacturing And Activity Analysis

Section: Chapter Questions

Problem 2PA

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Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 45 printed circuit boards. Each board requires 5 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 10 minutes to complete. The final assembly for each stereo unit requires 15 minutes and is also done in batches of 45 units. A batch of 45 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 25 minutes. The…
iSounds Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 9 minutes to complete. The final assembly for each stereo unit requires 21 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30 minutes. The…
Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 9 minutes to complete. The final assembly for each stereo unit requires 18 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30 minutes. The…
Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 9 minutes to complete. The final assembly for each stereo unit requires 21 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30 minutes. The…
Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 12 minutes to complete. The final assembly for each stereo unit requires 19 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30 minutes. The…
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Lead Time iSounds Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 9 minutes to complete. The final assembly for each stereo unit requires 18 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30…
Lead Time iSounds Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 20 printed circuit boards. Each board requires 5 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 10 minutes to complete. The final assembly for each stereo unit requires 16 minutes and is also done in batches of 20 units. A batch of 20 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 25…
Lead timeSound Tek Inc. manufactures electronic stereo equipment. Themanufacturing process includes printed circuit (PC) board assembly,final assembly, testing, and shipping. In the PC board assemblyoperation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator isresponsible for soldering components according to a given set ofinstructions. Operators work on batches of 45 printed circuit boards.Each board requires 5 minutes of board assembly time. After each batchis completed, the operator moves die assembled boards to the finalassembly area. This move takes 10 minutes to complete. The final assembly for each stereo unit requires 15 minutes and is alsodone in batches of 45 units. A batch of 45 stereos is moved into the testbuilding, which is across the street. The move takes 20 minutes. Beforeconducting the test, the test equipment must be set up for the particularstereo model. The test setup requires 25 minutes. The…
Lead Time Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 9 minutes to complete. The final assembly for each stereo unit requires 20 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30…
Lead Time Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 11 minutes to complete. The final assembly for each stereo unit requires 21 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30…
Lead Time Sound Tek Inc. manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of board assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 11 minutes to complete. The final assembly for each stereo unit requires 21 minutes and is also done in batches of 50 units. A batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30…