Define the scrap rate, Future production requirements in a

Define the scrap rate

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Reference no: EM131452936

Question: Future production requirements in a machine shop call for several automatic bar machines to be acquired to produce three new parts (A, B, and C) that have been added to the shop's product line. Annual quantities and cycle times for the three parts are given in the table below. The machine shop operates one 8-hr shift for 250 day/yr. The machines are expected to be 95% reliable, and the scrap rate is 3%. How many automatic bar machines will be required to meet the specified annual demand for the three new parts?

Part Annual Demand Machining Cycle Time (min)

A 25,000 5.0

B 40,000 7.0

C 50,000 10.0

Reference no: EM131452936

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