CPIM Practice Exam

What is the average weekly rated capacity for a work center available for 14,000 hours over one year, with actual hours of 11,980 and produced standard hours of 12,800?

1. 230 standard hours

2. 230 actual hours

3. 246 standard hours

4. 246 actual hours

The correct answer is: 246 standard hours

To determine the average weekly rated capacity for the work center, the calculation begins by establishing how the total available hours translate into a weekly average. The total available hours for the year is 14,000 hours. Since there are typically 52 weeks in a year, we can find the average weekly capacity by dividing the total annual hours by 52. Calculating that gives: \[ \text{Weekly available capacity} = \frac{14,000 \text{ hours}}{52 \text{ weeks}} \approx 269.23 \text{ hours/week} \] However, the question specifically asks for rated capacity in terms of standard hours. Given that the actual hours worked were 11,980 and the produced standard hours were 12,800, the rated capacity can more accurately relate to standard hours achieved during the actual time worked. When determining weekly rated capacity based on standard hours produced, it will help us assess efficiency in production relative to the actual hours worked. To find average weekly rated capacity in standard hours: 1. **Calculate total standard hours produced in a week** from the yearly production: \[ \text{Weekly standard hours} = \frac{12,800 \text{ standard hours}}{