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Compute the value-added ratio

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Problem - Lead time - The High Altitude Ski Company manufactures skis in the finishing and assembly process. Skis are manufactured in 34-ski batch sizes. The finishing time is 20 minutes per ski. The assembly time is 16 minutes per ski. It takes 10 minutes to move a batch of skis from finishing to assembly.

Required -

a. Compute the value-added, non-value-added, and total lead time of this process.

b. Compute the value-added ratio. Round to one decimal.

Reference no: EM132690742

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