Question

Problem 2-14 As operations manager, you are concerned about being able to meet sales requirements in the coming months. You have just been given the following production report: JAN FEB MAR APR Units produced 2,300 1,800 2,800 3,000 Hours per machine 325 200 400 320 Number of machines 3 5 4 4 Find the average of the monthly productivity figures (units per machine hour). (Do not round intermediate calculations. Round your answer to 2 decimal places.) Average productivity units per machine hour HintsReferenceseBook

Answer 1

Answer and Explanation:

For calculating the average of the monthly productivity, first, we have to determine the total hours, and then units per machine hours

Therefore, the formula to figure out the total hours is

= Hours per machine × Number of machines

For JAN = 325 × 3 = 975 hours

For FEB = 200 × 5 = 1,000 hours

For MAR = 400 × 4 = 1,600 hours

For APR = 320 × 4 = 1,280 hours

Now, the units per machine hours equivalent to

= Units produced ÷ total hours

For JAN = 2,300 units ÷ 975 hours = 2.36

For FEB = 1,800 units ÷ 1,000 hours = 1.8

For MAR = 2,800 units ÷ 1,600 hours = 1.75

For APR = 3,000 units ÷ 1,280 hours = 2.34

Now, the average of the monthly productivity equals to

= (2.36 + 1.8 + 1.75 + 2.34) ÷ 4

= 2.06 units per machine hour