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If Both Favorable and Unfavorable Variances Exist,the Variances Are Subtracted

question 84

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If both favorable and unfavorable variances exist,the variances are subtracted from each other.The variance is determined to be favorable or unfavorable based on which one is the larger amount.


Definitions:

Service Rate

The speed at which a service provider can deliver its service to customers, often measuring throughput in a system.

Distribution Of Service Times

The variation and pattern of times it takes for a service to be completed, often analyzed to improve process efficiency.

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