Indiatlantic Corporation's Management Keeps Track of the Time It Takes

question 146

Essay

Indiatlantic Corporation's management keeps track of the time it takes to process orders. During the most recent month, the following average times were recorded per order:
$$\begin{array} { | l | r | } \hline & \text { Hours } \\\hline \text { Processing Time } & 1.1 \\\hline \text { Inspection Tirne } & 0.4 \\\hline \text { Moving Time } & 0.8 \\\hline \text { Storing Time } & 4.8 \\\hline\end{array}$$
Required:
a. Compute the manufacturing cycle time.
b. Compute the manufacturing cycle efficiency.
c. What percentage of the production time is spent in non-value-added activities?

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