A Company Needs to Rebalance a Product Layout for Producing

question 94

Multiple Choice

A company needs to rebalance a product layout for producing new plastic license plates. They plan to use the assembly line 6 hours in order to meet projected demand of 2,160 license plates each day. The following table describes the tasks involved in the production of this product:

For output to equal projected demand, what will be the idle time at the second workstation of the assembly line that uses the minimum number of workstations?

• A)0 seconds
• B)1 second
• C)2 seconds
• D)3 seconds
• E)5 seconds

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Definitions:

Elasticity

An economic measure of how sensitive the quantity demanded or supplied of a good or service is to a change in price.

Option Price

The amount per share that an option buyer pays to the seller for the rights granted by an option contract, which can be influenced by factors such as the underlying asset's price, time to expiration, and volatility.

Call-Option

A financial contract giving the buyer the right, but not the obligation, to buy an asset at a specified price within a specific time period.

Stock Price

The amount at which a share of stock is bought or sold on the market.