A Time-And-Motion Study Revealed That It Should Take 3 Hours

question 64

Multiple Choice

A time-and-motion study revealed that it should take 3 hours to produce a product that currently takes 7.5 hours to produce. Labor is $18 per hour. The non-value-added costs are

• A)$27.
• B)$54.
• C)$81.
• D)$0.

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Definitions:

Regression Model

A mathematical model that estimates the relationship between a dependent variable and one or more independent variables.

Independent Variables

Elements in a research or modeling scenario that are deliberately modified to examine their influence on variables that are affected by them.

Stepwise Regression

A method of regression analysis that involves adding or removing predictors based on their statistical significance in a step-by-step manner to identify a model with optimal predictors.

P-values

A measure in statistical hypothesis tests representing the probability of observing the given or more extreme results assuming the null hypothesis is true.