Question: What is the cost to inspect each unit?
A sum of money must be paid or spent to acquire or gain anything.
Step 1: Cost
The cost is the amount of money that a firm has to spend to create its products or services. It is determined as the amount spent by a corporation to create a specific unit of a good.
Step 2: Calculation of how to inspect the cost of each unit
The formula is given below:
An inspection cost per unit = inspection expense each hour divided by the total of inspections completed each hour.
The cost of inspection per hour is 9, and the number of inspections completed each hour is 50.
= 9 / 50
= 1.80 dollar
Meritor is so pleased with the outcome from previous suggestions that the consultants are invited back for more work. The consultants now suggest a more complete robotic automation of the making of muffler assemblies and also a reduction in container size to eight per container. Meritor implements these suggestions and the result is that the muffler assembly fabrication cell now averages approximately 32 assemblies per hour, and the catalytic converter assembly cell can now respond to an order for a batch of catalytic converters in one hour. The safety stock remains at 12.5 percent. How many kanban cards are needed?
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