A casting costs $25, the burden cost on the machine that finishes the casting is $450 per hour, time for the part on the machining center is 50 minutes, and the setup time is 4 hours. If the castings are machined in lot sizes of 25, what percentage of the part cost is due to setup time? (Enter your answer without the percent % sign.) A study to replace the operator in the previous problem (Problem 3) with a robot indicates that the burden rate for the cell would increase to $150 per hour, the part machining time would drop to 12 minutes, and the setup time would drop to 2.2 hours. If the casting cost is $20, what is the part cost for a lot size of 20 in this new automated cell. (Enter your answer without the dollar $ sign.) A work cell includes two 30-inch-square pallets for raw casting and finished castings, an operator\'s work area used to insert bushings into the machined casting that is 30 inches by 48 inches, a tool rack that covers 9 square feet wide walkways and machine clearances that cover 18 square feet, and the production machine that measures 51 inches by 114 inches. Determine the manufacturing space ratio for the work cell.
1. Cost of casting 1 part= $25
Total number of parts in a lot=25
therefore total cost of castiong=$625
Total time taken to set up machine=4 hours
Time for maching 1 part=50 minutes
Therefore time for machining a lot=50*25=1250 minutes or 20 hours 50 minutes
Cost of machining tool for 1 hour=450
Total cost of maching for 20 hours 50 minutes= 450*(20+5/6)=$9375
Total cost of the lot= Total cost of castimg + Total cost of maching
= 625+9375
= $10000
Total cost of 1 part= Total cost of the lot/lot size=10000/25
=$400
Now Set up time for 1 part=total setup time/lot size=4/25 hours or 9.6 minutes
Cost of setup for 1 part= Cost of machine * setup time for 1 part
= (450*4)/25=$72
Percentage of part cost due to setup= (Cost of setup for 1 part)/(Total cost for 1 part)*100
=(72*100)/400
=18
Ans= 18
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