For a Particular Time Study a Company Would Like to Be

question 11

Multiple Choice

For a particular time study a company would like to be 90% confident that the average job cycle time is within 5% of the true average job cycle time. Assume that the average job cycle time is 15.76 minutes and the standard deviation of the sample is 3.2 minutes. The number of cycles that should be used in this time study would be

• A) 45.
• B) 93.
• C) 127.
• D) 236.

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Definitions:

Winning Bidder

The individual or entity that offers the highest price in a bidding process, such as auctions or competitive tenders.

Seasoned Equity Offering (SEO)

A new equity issue of securities by a company that has previously issued securities to the public.

Underpriced

A term used when a stock or other security is selling for a price that is lower than its apparent or intrinsic value.

IPO

Initial Public Offering, where a company offers shares of itself to the public for the first time to raise capital.