The Ramos Company collected the following information (in days):
$$\begin{array} { | l | r | }
\hline \text { Transporting product } & 4.0 \
\hline \text { Manufacturing product } & 28.0 \
\hline \text { Inspecting product } & 1.5 \
\hline \text { Storing product } & 6.0 \
\hline
\end{array}$$ What is the manufacturing cycle efficiency?
A) 87.5%.
B) 82.4%.
C) 70.9%.
D) 17.6%.

Question

The Ramos Company collected the following information (in days):
$$\begin{array} { | l | r | } 
\hline \text { Transporting product } & 4.0 \
\hline \text { Manufacturing product } & 28.0 \
\hline \text { Inspecting product } & 1.5 \
\hline \text { Storing product } & 6.0 \
\hline
\end{array}$$ What is the manufacturing cycle efficiency?
A) 87.5%.
B) 82.4%.
C) 70.9%.
D) 17.6%.

Quizplus · Accepted Answer

Manufacturing cycle efficiency (MCE) is calculated as the ratio of value-added time to total cycle time. Here, the value-added time is the manufacturing time (28 days), and the total cycle time is the sum of all activities (4 + 28 + 1.5 + 6 = 39.5 days). MCE = (28 / 39.5) * 100% = 70.9%.

The Ramos Company Collected the Following Information (In Days) What Is the Manufacturing Cycle Efficiency? A) 87

The Ramos Company Collected the Following Information (In Days) What Is the Manufacturing Cycle Efficiency?
A) 87