The Manager of an Orchard Expects About 70% of His

question 697

Multiple Choice

The manager of an orchard expects about 70% of his apples to exceed the weight requirement for
"Grade A" designation. At least how many apples must he sample to be 90% confident of
Estimating the true proportion within ±4%?

• A) 89
• B) 19
• C) 23
• D) 356
• E) 505

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Definitions:

Direct Labor Efficiency

A measure of the productivity of workers involved directly in manufacturing, calculated as actual hours worked versus standard hours.

Direct Labor Price

Refers to the rate paid for the labor directly involved in the production of goods or services.

Ideal Standards

Benchmarks for performance or production that assume perfect efficiency and effectiveness, often used for planning purposes.

Favorable Variances

Differences between expected and actual financial performance that result in better-than-expected profitability or cost savings.