Answer:
e. the labor cost for a drone assembled at overtime would be $75.33.
Step-by-step explanation:
From given data
income of a single PAT member is $22,000+$800+$3,200=$26,000
The annual income of 4 PAT members is 4*($26,000) = $1,04,000 --------->(1)
and also a PAT is paid a $6 assembly quality incentive per UAV drone assembled that is equally divided among 4 PAT members.
And the Quality incentive per UAV drone for 4 PAT members = $6, and as the PAT's productivity is 1500 drones per year.
The total Annual Quality incentive for 4 PAT members = 1500*($6) = $9,000 --------->(2)
Hence, the Company invests a total labor cost of $1,04,000 + $9,000 [From, (1)+(2)], for 1500 drones
Thus, the Company invests a total labor cost of $1,13,000 for 1500 drones
Thus, for each drone the investment for the labor cost becomes ($1,13,000) / 1500 = $75.33
Hence, the labor cost for a drone assembled is $75.33
e. the labor cost for a drone assembled at overtime would be $75.33 is the answer
Answer:
e. the labor cost for a drone assembled at overtime would be $75.33.
Step-by-step explanation:
PAT: Product assembly team, consisting of 4 members.
Cost per PAT member
Annual base wage: $22,000
Bonus for attendance: $800
Fring benefits: $3,200
Quality incentive: $6 x 1500 drones / 4 members = $2,250
TOTAL: $28,250 per member
TOTAL per PAT: $28,250 x 4 = $113,000
TOTAL per drone: $113,000/1500 = $75.33
The right option is e. the labor cost for a drone assembled at overtime would be $75.33.
