Refer to (Total Time = 20 minutes (VA time) + 10 minutes (NVA time) = 30 minutes; Total Cost = $11.67 (VA cost) + $5.417 (NVA cost) = $17.087) the restaurant value stream map, and recompute the total value-added and non-value-added time and cost given the following new information. The chef's time is valued at $30 per hour, oven operation at $10 per hour, precooking order waiting time at $5 per hour, and postcooking order waiting time at $60 per hour. The $60 estimate reflects the cost of poor quality for a dinner waiting too long that might be delivered to the customer late (and cold). If a restaurant uses iPads to place orders and notify waiters when the customer's order is ready, the time on the order board (now an electronic order board) decreases from five to four minutes, and the prepared order wait time decreases from five to two minutes. Round your answer for the total revised time to the nearest whole number and round your answer for the total revised cost to three decimal places. Total Revised Time: minutes Total Revised Cost: $

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter8: Cost Analysis
Section: Chapter Questions
Problem 5E
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Refer to (Total Time = 20 minutes (VA time) + 10 minutes (NVA time) = 30 minutes; Total Cost = $11.67 (VA cost) + $5.417 (NVA cost) = $17.087) the restaurant value stream map, and recompute the total value-added and non-value-added time and cost given the following new information. The chef's time is valued at $30 per hour, oven operation at $10 per hour, precooking order waiting time at $5 per hour, and postcooking order waiting time at $60 per hour. The $60 estimate reflects the cost of poor quality for a dinner waiting too long that might be delivered to the customer late (and cold). If a restaurant uses iPads to place orders and notify waiters when the customer's order is ready, the time on the order board (now an electronic order board) decreases from five to four minutes, and the prepared order wait time decreases from five to two minutes. Round your answer for the total revised time to the nearest whole number and round your answer for the total revised cost to three decimal places.

Total Revised Time:   minutes

Total Revised Cost: $  

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