The Daily Output Required from an Assembly Line Is 80

question 61

Multiple Choice

The daily output required from an assembly line is 80 units.If the line operates 4 hours a day,what is the cycle time per unit?

• A)3 hours
• B)3 minutes
• C)3 seconds
• D)3 days

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Definitions:

Total Manufacturing Costs

The sum of all expenses directly associated with the production of goods, including direct labor, direct materials, and manufacturing overhead.

Predetermined Overhead Rate

Predetermined Overhead Rate is a rate calculated before a period begins, used to allocate estimated overhead costs to products or job orders based on a selected activity base.

Annual Overhead Costs

Refers to the total expenses that are not directly tied to a specific product or service but are required for the business to operate, accumulated over a year.

Direct Labor Costs

The wages paid to workers who are directly involved in the production of goods or the provision of services.