Table 7.13 The Following Information Is Given About an Assembly Line.The Desired

question 56

Multiple Choice

Table 7.13
The following information is given about an assembly line.The desired output rate is 90 units per hour.

-Use the information in Table 7.13.What is the fewest number of workstations that you need?

• A)two stations
• B)three stations
• C)four stations
• D)more than four stations

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Definitions:

Hourly Rates

The cost or pay rate allocated per hour of labor or service provided.

Materials Price Variance

The difference between the actual cost of materials used in production and the standard cost, used to assess cost control.

Production Manager

An individual responsible for overseeing the production process, managing production staff, and ensuring that manufacturing processes are efficient and effective.

Variable Overhead Efficiency Variance

The difference between the actual and expected (or standard) variable overhead costs based on the actual production hours.