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Assume that order prep time is based on the following distribution:
Complete the following table given that the random numbers for order prep time for customers 3, 4, and 5 are 62, 93, and 26, respectively.
What is the average customer waiting time and the graduate student's utilization?
Labor Rate Variance
The difference between the actual cost of direct labor and the estimated cost of direct labor at standard rates for the production achieved.
Labor Efficiency Variance
The difference between the actual hours worked to produce goods and the standard hours expected, multiplied by the standard labor rate, indicating efficiency in labor use.
Material Price Variance
The variance between the real price paid for materials and their anticipated (standard) price.
Material Quantity Variance
The difference between the actual quantity of materials used in production and the standard quantity expected, multiplied by the standard cost per unit.
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