The Amount of Tea Leaves in a Can from a Production

question 156

Short Answer

The amount of tea leaves in a can from a production line is normally distributed with μ= 110 grams and σ= 25 grams.Approximately 83% of the can will have at least how many grams of tea leaves?

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Definitions:

Direct Materials Cost

Direct materials cost refers to the expenditure on the raw materials that are directly identifiable and allocable to the production of a product.

Overapplied Overhead

This refers to a situation in which the allocated overhead cost is greater than the actual overhead cost incurred.

Predetermined Rate

A rate calculated before the fiscal period begins, used to apply costs to production or operations, often based on labor hours or machine hours.

Predetermined Overhead Rate

A rate calculated at the beginning of the period, used to allocate overhead costs to products based on a specific activity base.