A Machine Manufacturer Conducted a Study to Compare the Performance

question 150

Essay

A machine manufacturer conducted a study to compare the performance of two types of similar machines A and B in terms of the hardness of the product manufactured.According to the production supervisor,the machine setting (high,medium,low)also affects the hardness of the product.The hardness readings (response variable)are given in a two-factor factorial design format with two observations per cell. $\begin{array}{cc}&\text { Machine type }\\\text { Machine Setting }&\text { A } & \text { B } \\\text { Low }&8 & 4 \\&8 & 4 \\\\\text { Medium }&7 & 5 \\&6 & 2 \\\\\text { High }&9 & 4 \\&10 & 5\end{array}$ You are also given the following additional information:
SS (machine type)= 48,SS (machine setting)= 8,SST = 64
-Complete the analysis of variance table and test to determine whether the means for factor B differ at a = .10.Interpret the results.

Calculate the predetermined manufacturing overhead rate.

Recognize the use and rationale behind plantwide overhead rates.

Analyze the benefits of dual rate versus single rate cost allocation in different firm scenarios.

Discuss the reasons for allocating indirect costs to responsibility centers.

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Definitions:

Instinctive Drift

The tendency of an animal to revert to instinctual behaviors that interfere with learned behavior from conditioning.

Negative Reinforcement

A process in behaviorism where a response increases because a negative condition is stopped or avoided as a consequence of the response.

Salient

Being most noticeable or important; prominently standing out.

Stimuli

Environmental factors or changes that elicit a response from an organism or part of the body.