Sample Observations of a Claims Processor Made Over a 160-Hour

question 10

Multiple Choice

Sample observations of a claims processor made over a 160-hour work month reveal that the worker produced a total of 384 completed claims forms.The performance rating was 80%.The worker was idle 20% of the time (so that idle time should be subtracted from the total time when computing the average observed time) .The allowance factor is 8%.What is the standard time per unit?

• A)0.42 minutes
• B)16.0 minutes
• C)17.4 minutes
• D)20.0 minutes
• E)21.7 minutes

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Definitions:

Wickard V. Filburn

A landmark 1942 U.S. Supreme Court case that vastly expanded the power of the federal government to regulate economic activities, based on the Commerce Clause.

Interstate Commerce

Economic activities or transactions that cross state borders or affect more than one state, which are regulated by the federal government in the United States.

Single-Family Farm

A farm operated and maintained by a single family, usually for the purposes of sustenance or income.

RPM Agreement

A Resale Price Maintenance agreement, where manufacturers or wholesalers set the minimum prices at which retailers can sell their products.