Consider a Production Line That Has a Station with Two

question 90

Multiple Choice

Consider a production line that has a station with two machines, and each unit produced at the station needs to be processed by both of the machines. (A unit cannot be worked on by both machines simultaneously.) Each machine has a production capacity of 4 units per hour. What is the lowest possible cycle time of the station?

• A) 4 minutes per unit
• B) 8 minutes per unit
• C) 7.5 minutes per unit
• D) 30 minutes per unit
• E) 15 minutes per unit

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Definitions:

Selling Price

The amount of money for which something is sold to a customer.

Operating Cash Flow

The cash generated by a company's normal business operations, indicating whether a company is able to generate enough positive cash flow to maintain and grow its operations.

Depreciation Expense

The allocation of the cost of a tangible asset over its useful life, representing how much of the asset's value has been used up over time.

Operating Cash Flow

The amount of cash generated by a company's normal business operations.