Compute Throughput Time and Delivery Cycle Time of a Company


During the most recent month at Coggan Corporation, queue time was 5.3 days, inspection time was 0.5 days, process time was 1.9 days, wait time was 4.5 days and move time was 0.5 days.


Compute the following:

  1. Throughput time
  2. Manufacturing cycle efficiency (MCE)
  3. Percentage of production time spent on non-value-added activities
  4. Delivery cycle time


Summary: This question belongs to management accounting and discusses about a company’s services and to determine throughput time, manufacturing cycle efficiency (MCE) and delivery cycle time.

Total word count: 32


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