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i. For a goodness-of-fit test, the following are possible null and alternate hypotheses. Null: Sales are uniformly distributed among the five locations. Alternate: Sales are not uniformly distributed among the five locations. ii. The number of degrees of freedom appropriate for the chi-square goodness-of-fit test is the number of categories minus 1.
iii. If there are extremely large differences between observed and expected frequencies the correct decision is to accept H0.
Standard Hours
The set amount of time expected for a task or job to be completed, often used in planning and efficiency analysis.
Units Produced
The total number of finished items or products created by a production process or manufacturing operation.
Variable Factory Overhead Controllable Variance
The difference between the actual variable overhead costs and the budgeted costs that management could control.
Standard Factory Overhead Rate
A rate used to allocate factory overhead costs to products based on expected factory activity.
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