As part of its quality-improvement program a company is conducting a time study for a particular job. The time study encompassed 10 job cycles, and the results include the following cumulative times and performance rating factors for each element. The standard time for this job using an allowance factor of 16% is
A) 1.809 minutes.
B) 2.098 minutes.
C) 1.530 minutes.
D) 2.233 minutes.

Question

As part of its quality-improvement program a company is conducting a time study for a particular job. The time study encompassed 10 job cycles, and the results include the following cumulative times and performance rating factors for each element.  The standard time for this job using an allowance factor of 16% is
A) 1.809 minutes. 
B) 2.098 minutes. 
C) 1.530 minutes. 
D) 2.233 minutes.

Quizplus · Accepted Answer

Using the cumulative times and performance rating factors provided in the table, we can calculate the average observed time per cycle:
Total observed time = 406.6 seconds
Average observed time per cycle = 406.6/10 = 40.66 seconds

Next, we need to calculate the normal time, which takes into account the performance rating factor and the allowance factor. The formula for normal time is:
Normal time = average observed time * performance rating factor / (1 - allowance factor)

Plugging in the values from the table:
Normal time = 40.66 * 1.05 / (1 - 0.16)
Normal time = 2.098 minutes

Therefore, the standard time for this job using an allowance factor of 16% is 2.098 minutes, which corresponds to choice (B).

As Part of Its Quality-Improvement Program a Company Is Conducting