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Question 7.2: Compute the allowance factor for these two cases: a. The all......

Compute the allowance factor for these two cases:

a. The allowance is 20 percent of job time.
b. The allowance is 20 percent of work time.

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A = .20

a. AF = 1 + A = 1.20, or 120%

b. \mathrm{AF}\,=\,{\frac{1}{1-A}}\,=\,{\frac{1}{1\,-\,.20}}\,=\,1.25,\ \mathrm{or}\ 125\%

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