Manufacturing Cycle Efficiency Assignment

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February 18th, 2020

Circle the letter of the best response then scan the quiz to me through e-mail or Canvas Or alternatively show your answers in this Word file and return it through e-mail or Canvas

1. Residual income should not be used to evaluate a profit center True. False.

2. Process Time is the only non-value-added component of Throughput Time True b) False

3. Suppose a company evaluates divisional performance using both Roll and residual income. The company's minimum required rate of return for the purposes of residual income calculations is 12% If a division has a residual income of $6,000, then its ROI is greater than 12% b) True False

4. A manufacturing cycle efficiency (MCE) ratio close to 100 is desirable because this is the ratio of value-added time to throughput time True False b) 3. Net operating income is income after interest and taxes True b) False. .

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