Tijuana Bronze Machining Case Report

The following report was call for by Mr. Herb Alpert of Tijuana common topaz Machining. The following data was provided by Mrs. Mary Ford. exhibit 1Product positivism AnalysisValvesPumpsFlow ControllersStandard unit of measurement financial value$37.56$63.12$56.50Target selling footing$57.78$97.10$86.96Planned complete(a) circumference %35%35%35% terminal MonthActual selling price$57.78$81.26$97.07Actual gross margin35%22%42% queer 2Monthly Production and apostrophize SummaryProduct lines ValvesPumpsFlow ControllersMonthly backing 7,500 units12,500units4,000units(1 rule)(5 runs)(10 runs)Monthly shipments 7,500 units12,500units4,000units(1 shipment)(7 shipments)(22 shipments)Material and Labor CostMonthly TotalMaterial4 divisors5 components10 components2 @ $2 =$4 3 @ $2 =$6 4 @ $1 =$42 @ 6 =122 @ 7 =one hundred forty-five @ 2 =101 @ 8 =8Total$16 $20 $22 $458,000Labor ($16 per hour including employee benefits)Set-up Labor8hours8hours12hours168hoursper work runper returnion runper production runRun Labor0.25hours0.50hours0.40hours 9,725 hoursper unitper unitper unit form Hours0.50hours0.50hours0.

20hours 10,800 hoursper unitper unitper unitManufacturing OverheadReceiving$20,000Materials handling200,000 applied science100,000Packing and shipping60,000Maintenance30,000Machine depreciations (10 year life) 270,000Total $680,000 evidence 3Monthly Overhead Activity AnalysisValvesPumpsFlow ControllersReceiving: incur to individually one component4 transactions25 transactions100 transactionsonce per run3%19%78%Materials Handling:Handle each component4 transactions25 transactions100 transactionsonce per receipt (60% of woo)3%19%78%Handle each component once4 transactions25 transactions100 transactionsper production run (40% of cost)3%19%78%Packing and tape drive:One fisticuffs found per shipment1 transactions7 transactions22 transactions4%23%73%Engineering:Estimated engineering workloadpercentage (subjective)20%30%50%Maintenance and depreciation:Machine hours basis3,750hours6,250hours800hours35%58%7% use the data provided, we calculated the product cost per unit for valves, pumps and unravel controllers that were reported in Exhibit 1. This was done by jump calculating the clobber cost for each item. This information was already provided to us by Exhibit 2. Material cost were $16 for valves, $20 for pumps, and $22 for flux controllers. Next require know into was calculated by taking the provided amount of attention employ for each item and multiplying it by the TBM?s ongoing prod rate. Direct labor cost were $4 for valves, $8 for pumps, and $6.40 for liquefy controllers. We then added guide material cost and direct labor cost together for each item. Then that do was subtracted from the quantity unit cost provided... If you expect to get a well(p) essay, order it on our website: Orderessay

If you want to get a full information about our service, visit our page: How it works.