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Pooler Corporation is working on its direct labor budget for the next two months.Each unit of output requires 0.15 direct labor-hours.The direct labor rate is $7.00 per direct labor-hour.The production budget calls for producing 6,500 units in April and 6,200 units in May.The company guarantees its direct labor workers a 40-hour paid work week.With the number of workers currently employed,that means that the company is committed to paying its direct labor work force for at least 1,000 hours in total each month even if there is not enough work to keep them busy.What would be the total combined direct labor cost for the two months?
P-value
The probability of obtaining test results at least as extreme as the observed results, assuming the null hypothesis is correct.
Sample Size
The number of units or observations collected from a population for the purpose of a statistical analysis.
Significance Level
Significance level is a threshold in hypothesis testing, denoting the probability of rejecting the null hypothesis when it is actually true, often set at 0.05 or 5%.
Power of the Test
The probability that the test correctly rejects the null hypothesis when the alternative hypothesis is true, indicating the test's effectiveness.
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