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Discussion :: Industrial Engineering and Prod'n Mgmt

  1. If (R) is the base rate guaranteed per hour, (S) is the standard time for the job and (T) is the actual time, then according to Rowan plan, wages for the job will be

    2. A.

     TR
    B.

     TR + [(S - T)/2] × R
    C.

     TR + (S - T) × R
    D.

     TR + [(S - T)/S] × R

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    Answer : Option D

    Explanation :

    If (R) is the base rate guaranteed per hour, (S) is the standard time for the job and (T) is the actual time, then according to Rowan plan, wages for the job will be TR + [(S - T)/S] × R

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