Which of the Following in Not an Out of Control

question 36

Multiple Choice

Which of the following in not an out of control signal for an x-bar chart?

• A) One or more points outside the control limits
• B) Seven or more consecutive points that all fall on the same side of the center line
• C) Six or more consecutive points moving in the same direction (an upward or downward trend)
• D) Fourteen points in a row, alternating up and down

---

Definitions:

Direct Labor Budget

A financial plan that estimates the cost of direct labor needed to meet production needs within a specific timeframe.

Direct Labor-Hour

A measure of the amount of time workers spend directly working on manufacturing a product or providing a service.

Labor Rate

The cost per hour that a company pays for labor, often used in calculating the total labor cost of a project or production.

Selling and Administrative Expense Budget

outlines predicted selling expenses and administrative costs for a future period.