A Job Had an Observed Time of Three Minutes,a Performance

question 145

Multiple Choice

A job had an observed time of three minutes,a performance rating of 0.90,and an allowance factor that was 20 percent of job time.Standard time for the job in minutes is:

• A)0.54
• B)2.16
• C)2.70
• D)3.24
• E)3.60

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Definitions:

Salvage Value

The estimated resale value of an asset at the end of its useful life, considered in depreciation calculations and asset disposal decisions.

Net Present Value

The sum of all future cash flows, both incoming and outgoing, of an investment, discounted back to their present value to analyze its profitability.

Investment Project

A project involving the allocation of capital resources to long-term assets that produce returns over time.

Working Capital

A measure of a firm's short-term financial health and its ability to cover its short-term obligations with its short-term assets.