The Moving Activity Has an Expected Cost of $160,000

question 66

Multiple Choice

The moving activity has an expected cost of $160,000. Expected direct labor hours are 40,000, and the expected number of moves is 80,000. The best activity rate for moving is

• A) $4 per move.
• B) $1.33 per hour-move.
• C) $4 per hour.
• D) $2 per move.

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Definitions:

Cram

The practice of intensely absorbing a large amount of information in a short period of time, often used in the context of studying.

Sequence

A specific order in which related events, movements, or things follow each other.

Prototype Model

A model emphasizing that when people evaluate whether a given item reflects a certain concept, they compare the item with the most typical item(s) in that category and look for a “family resemblance” with that item’s properties.

Availability Heuristic

A prediction about the probability of an event based on the ease of recalling or imagining similar events.