A Production Line Is to Be Designed for a Job

question 25

Multiple Choice

A production line is to be designed for a job with four tasks.The task times are 2.4 minutes,1.4 minutes,0.9 minutes,and 1.7 minutes.After line balancing,the largest possible assigned cycle time is ________ minutes,and the smallest possible assigned cycle time is ________ minutes.

• A)1.8;1.4
• B)1.6;0.9
• C)6.4;2.4
• D)2.4;0.9
• E)6.4;0.9

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Definitions:

Contribution Margin Ratio

The ratio that represents what percentage of sales contributes to the covering of fixed costs, calculated by subtracting variable costs from sales revenue and dividing the result by sales revenue.

Operating Income

Earnings from a company's core business operations, excluding revenue and expenses from non-operating activities like investments.

Variable Costs

Costs that vary depending on a company’s level of activity.

Break-even Sales

The amount of revenue from sales needed to cover a company's fixed and variable costs, resulting in zero net income.