Question

In: Accounting

Apples & Oranges Inc. is trying to become more efficient in shipping goods. It is experimenting...

Apples & Oranges Inc. is trying to become more efficient in shipping goods. It is experimenting with two new shipping procedure initiatives aimed at achieving this strategic objective. The company has provided the following data regarding the two procedures after one month of implementation:

Shipping Procedure A Shipping Procedure B
Number of shipping errors 102    126
Hours from ordered to shipped 16.3    19.2
Shipping time (hours from shipped to delivered) 6.7    9.5
Pounds of goods shipped 900,000    900,000
Number of shipments 300    300

a. Compute the following performance metrics for each program:

(1) Average number of shipping errors per shipment, rounded to two decimal places.

Procedure A:  error per shipment

Procedure B:  error per shipment

(2) Hours from ordered to delivered, rounded to one decimal place.

Procedure A:  hours from ordered to delivered

Procedure B:  hours from ordered to delivered

(3) Average pounds of goods per shipment.

Procedure A:  lbs. of goods per shipment

Procedure B:  lbs. of goods per shipment

b. Which program should the company implement moving forward?

Solutions

Expert Solution

Answer

Answer 1

Procedure A

0.34

error per shipment

Procedure B

0.42

error per shipment

Calculations:

Procedure A

102/300

error per shipment

Procedure B

126/300

error per shipment

Answer-2

Procedure A

23

hours from ordered to delivered

Procedure B

28.7

hours from ordered to delivered

Calculations:

Procedure A

16.3+6.7

hours from ordered to delivered

Procedure B

19.2+9.5

hours from ordered to delivered

Answer - 3

Procedure A

$               3,000

lbs of goods per shipment

Procedure B

$               3,000

lbs of goods per shipment

Calculations:

Procedure A

900,000/300

lbs of goods per shipment

Procedure B

900,000/300

lbs of goods per shipment

b.

Programme B Should company implement moving forward

ekkarill92 answered 3 hours ago
Next > < Previous

Related Solutions

Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It is experimenting...
Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It is experimenting with two training programs aimed at this objective. Both programs have basic and advanced training modules. The restaurant has provided the following data regarding the two programs after two weeks of implementation: Training Program A Training Program B New chef # 1 2 3 4 5 6 7 8 9 10 Hours of basic training 24 22 26 23 23 25 24 29 33...
Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It is experimenting...
Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It is experimenting with two training programs aimed at this objective. Both programs have basic and advanced training modules. The restaurant has provided the following data regarding the two programs after two weeks of implementation: Training Program A Training Program B New chef # 1 2 3 4 5 6 7 8 9 10 Hours of basic training 23 25 26 19 24 23 23 27 29...
Performance metrics Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It...
Performance metrics Buffalo BBQ Restaurant is trying to become more efficient in training its chefs. It is experimenting with two training programs aimed at this objective. Both programs have basic and advanced training modules. The restaurant has provided the following data regarding the two programs after two weeks of implementation: Training Program A Training Program B New chef # 1 2 3 4 5 6 7 8 9 10 Hours of basic training 23 26 27 20 21 25 23...
How can there be more than one efficient distribution of goods? Which distribution of goods is...
How can there be more than one efficient distribution of goods? Which distribution of goods is "most efficient”?
15. How can you encourage and support individuals and work groups to become more efficient?
15. How can you encourage and support individuals and work groups to become more efficient?
a) Why firms and industries should become more efficient in using natural resources? B) What ethical...
a) Why firms and industries should become more efficient in using natural resources? B) What ethical responsability does businesses have to the enviroment? should it be universal or each country should have its own way to implement it individually?
On September 1, 2020, Myo Inc. sold goods to Khin Corporation, a new customer. Before shipping...
On September 1, 2020, Myo Inc. sold goods to Khin Corporation, a new customer. Before shipping the goods, Myo's credit and collections department conducted a procedural credit check and determined that Khin is a high credit-risk customer. As a result, Myo did not provide Khin with open credit by recording the sale as an account receivable. Instead, Myo required Khin to provide a non–interest-bearing promissory note for $35,000 face value, to be repaid in one year. Khin has a credit...
Bold Bodybuilders, Inc. is a large sporting goods store. It has become the exclusive distributor of...
Bold Bodybuilders, Inc. is a large sporting goods store. It has become the exclusive distributor of the new bodybuilding equipment called Geni. After carrying the equipment for a year, Joe Sabatini, a manager of the supply chain, decided to analyze the company's inventory policy for Geni. On the basis of the past year's record, Joe has identified the following weekly demand data: Weekly Demand Occurrence, Week 95 8 96 2 97 6 98 10 99 8 100 6 101 6...
Acme Inc. may replace an old machine with a new, more efficient model. The old machine...
Acme Inc. may replace an old machine with a new, more efficient model. The old machine was purchased 5 years ago for $96,000. It is being depreciated over 8 years to zero book value using the straight-line method. Its current book value is $36,000. Its current market value is $30,000. The new machine costs $180,000. It will be depreciated over 6 years to zero book value using the straight-line method. After its useful life of 10 years it is expected...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT