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9 December, 10:02

Bisutti Cams is producing its Racing Camshaft models RC1 and RC2. It is a three-state process that involves collecting the appropriate items from inventory, assembling, and then inspecting them. Bisutti Cams is making its labor estimates for the next four quarters for the collecting, assembling and inspecting operations. The RC1 requires 5 hours of labor and the RC2 requires 2 hours. The collecting process uses 20% of its labor resources, the assembling uses 70%, and the inspecting uses 10%. The production schedule for the next four quarters is given below.

Calculate the labor hours required in the collecting, assembling, and inspecting processes for the next four quarters.

Quarter

Endproduct 1 2 3 4

RC I 100 120 200 140

RC 2 200 250 150 100

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Answers (1)
  1. 9 December, 10:28
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    Bisutti Cams

    The total Hours for collecting, assembling, and inspecting processes for the next four quarters for the two products are as follows.

    Labor Hours required in the Four Quarters RC1

    Collecting, 20% Assembling, 70% Inspecting processes 10%

    Quarter 1 100 350 50

    Quarter 2 120 420 60

    Quarter 3 200 700 100

    Quarter 4 140 490 70

    Total Hrs. 560 1960 280

    Labor Hours required in the Four Quarters RC2

    Collecting, 20% Assembling, 70% Inspecting processes 10%

    Quarter 1 80 280 40

    Quarter 2 100 350 50

    Quarter 3 60 210 30

    Quarter 4 40 140 20

    Total Hrs 280 980 140

    Explanation:

    Labor Hours required in the Four Quarters

    Quarter

    Endproduct 1 2 3 4

    RC I 100 120 200 140

    No of Hours Required 5 5 5 5

    Total Hours Required 500 600 1000 700

    Step 1) We multiply number of hours with the products in each quarter to get the total hours required.

    RC 2 200 250 150 100

    No of Hours Required 2 2 2 2

    Total Hours Required For R2 400 500 300 200

    Step 2) We find the collecting, assembling, and inspecting hours by applying the percentages to each quarter hour.

    Labor Hours required in the First Quarter

    RC1 RC2

    Collecting, 20% 100 80

    Assembling, 70% 350 280

    Inspecting processes 10% 50 40

    First Quarter 500 400

    Labor Hours required in the Second Quarter

    RC1 RC2

    Collecting, 20% 120 100

    Assembling, 70% 420 350

    Inspecting processes 10% 60 50

    Second Quarter 600 500

    Labor Hours required in the Third Quarter

    RC1 RC2

    Collecting, 20% 200 60

    Assembling, 70% 700 210

    Inspecting processes 10% 100 30

    Third Quarter 1000 300

    Labor Hours required in the Fourth Quarter

    RC1 RC2

    Collecting, 20% 140 40

    Assembling, 70% 490 140

    Inspecting processes 10% 70 20

    Fourth Quarter 700 200
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