The Average Time a Subscriber Spends Reading the Local Newspaper

question 112

Multiple Choice

The average time a subscriber spends reading the local newspaper is 49 minutes.Assume the standard deviation is 16 minutes and that the times are normally distributed. For the 10% who spend the most time reading the paper,how much time do they spend?

• A)11.72
• B)28.52
• C)86.28
• D)69.48

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Definitions:

Price Variance

The difference between the expected cost of an item and its actual cost, often analyzed in budgeting and cost management.

Standard Price

A predetermined cost that serves as a benchmark for evaluating actual cost performance in purchasing or production.

Direct Materials

Raw materials that can be directly traced to the production of specific goods or services.

Manufacturing Cost Variance

The difference between the actual costs of production and the standard or expected costs, indicating efficiency or inefficiency in the manufacturing process.