During the Past Six Months,73

question 77

Multiple Choice

During the past six months,73.2 percent of US households purchased sugar.Assume that these expenditures are approximately normally distributed with a mean of $8.22 and a standard deviation of $1.10.Find the probability that a household spent more than $10.00 on sugar.

• A).7320
• B).9474
• C).0526
• D).2680

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Definitions:

Machine Hours

A measure of the amount of time a machine is operated, used in calculating manufacturing costs and allocating expenses.

Baking Department

A specific section within a retail store, food service establishment, or manufacturing facility dedicated to producing baked goods.

Overhead Costs

General business expenses that are not directly attributable to creating a product or service but are necessary for the business's day-to-day operations.

Plantwide Overhead Rate

A single overhead rate calculated by dividing all manufacturing overhead costs by an entity's total allocation base, typically direct labor hours or machine hours, used across an entire factory.