A Worker Was Observed for Four Cycles of a Repetitive

question 90

Multiple Choice

A worker was observed for four cycles of a repetitive operation. The observed times for work elements are 11, 10, 8, and 11 seconds, respectively. What sample size is appropriate for estimating the time for this work element within + 3 percent of the True mean time with 95 percent confidence (z = 1.96) ?

• A) fewer than or equal to 70
• B) greater than 70 but fewer than or equal to 75
• C) greater than 75 but fewer than or equal to 80
• D) greater than 80

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Definitions:

Capacity Analysis Report

A document that evaluates the production capacity of a business to understand its ability to meet product demand.

Time-Based Activity-Based Costing

An accounting method that tracks costs of activities based on the time spent on them, allowing for more accurate product costing.

Matching Capacity

The process of ensuring that a company's production capacity meets or matches the demand for its products or services, aiming for operational efficiency and customer satisfaction.

Product's Profit

The financial gain made from selling a product after deducting the cost of its production and sale.