How Are the Direct Labour Hours Used by a Job

question 26

Multiple Choice

How are the direct labour hours used by a job normally measured?

• A) allocated by means of an overhead recovery rate
• B) by physical record keeping
• C) estimated by the foreman
• D) by all of the above

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Definitions:

Control Limits

Control limits are statistical boundaries set in process control charts to determine if a process is operating in a state of statistical control or if there are variations that require attention.

Centerline

A reference line drawn on a graph or chart that represents the average, norm, or expected value of a set of data or a process control chart.

Process Capability Index

A measure used to quantify how well a process can meet specified output requirements.

Specification Limits

The bounds within which the values of a product, process, or service must lie to meet quality standards.