EXERCISE 3 SANIX – The production process of the Sanix is articulated into two productive units: processing unit (highly automated system) and finishing unit (mainly based on direct labor). In relation to the production of October, the following information are available: Work In Progress (in thousand euro) N° batch N. of unit for each batch Direct Material Direct Overhead Labor 001 2.000 units 60.000 20.000 120.000 002 2.500 units 40.000 15.000 80.000 Processing unit N° batch. Direct material Time plant Hour direct labor (€) 001 5.000 3500 250 002 10.000 2500 400 003 45.000 2000 50 Type of resource Unitary cost Use Direct labor 20 700 hours €/hour Supervisors 300 hours 50 €/hour Maintenance 160 hours 50 €/hour technicians Energy 20.000 €/month Depreciation 50.000 €/month Finishing unit N° batch. Direct material Hour direct labor (€) 001 10.000 1500 002 15.000 3000 003 0 0 Type of resource Unitary cost Use Direct labor 20 4500 h €/h
EXERCISE 3 – SANIX The production process of the Sanix is articulated into two productive units: processing unit (highly automated system) and finishing unit (mainly based on direct labor). In relation to the production of October, the following information are available: Work In Progress (in thousand euro) N° batch N. of unit for each batch Direct Material Direct Labor Overhead 001 2.000 units 60.000 20.000 120.000 002 2.500 units 40.000 15.000 80.000 Processing unit N° batch. Direct material (€) Time plant Hour direct labor 001 5.000 3500 250 002 10.000 2500 400 003 45.000 2000 50 Type of resource Unitary cost Use Direct labor 20 €/hour 700 hours Supervisors 50 €/hour 300 hours Maintenance technicians 50 €/hour 160 hours Energy 20.000 €/month Depreciation 50.000 €/month Finishing unit N° batch. Direct material (€) Hour direct labor 001 10.000 1500 002 15.000 3000 003 0 0 Type of resource Unitary cost Use Direct labor 20 €/h 4500 h