Answer: $70
Step-by-step explanation:
Given that:
Toy with defect is produced once every 4 hours
Cost of labor and supplies incurred for producing a defective toy = $7
Number of defective toys that is expected to be produced in a 40 hour work week :
Number of hours / average hour for producing 1 defective toy
= 40/ 4
= 10 defective toys
Cost incurred for producing 10 defective toys :
($7 * 10) = $70
