QRS CorpIs Designing a Product Layout for a New Product

question 23

Multiple Choice

QRS Corp.is designing a product layout for a new product.They plan to use this production line ten hours a day in order to meet forecasted demand of 900 units per day.The following table describes the tasks necessary to produce this product: For output to equal forecasted demand,what should be the actual cycle time for this production?

• A)32 seconds
• B)38 seconds
• C)40 seconds
• D)76 seconds
• E)152 seconds

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Definitions:

First-In, First-Out

First-In, First-Out (FIFO) is an inventory valuation method where the earliest items purchased or produced are the first sold, affecting the cost of goods sold and inventory value.

Cost Of Production Report

A document summarizing the total cost of materials, labor, and overhead incurred in producing a product or service.

Department A

Department A is a placeholder name commonly used to represent a specific unit or section within a larger organization, focusing on a distinct set of tasks or functions.

Conversion Costs

Costs incurred to convert raw materials into finished products, typically including direct labor and manufacturing overhead.