"Time on site" of apps - sdk

I've been using Google Analytics very successfully for measuring apps. We learn a lot from the data. There's just one thing that I can't find any information about and that's the metric 'time on site'. It does measure something, but in my opinion time is often too long for average usage.
Can anyone explain to me if these data mean:
the time:
from opening app till going to background
from opening app till really terminating
Something else?
Many thanks in advance!
Greetings from Holland,
Sonja Kamst

Time on Site: Time on site is one way of measuring visit quality. If visitors spend a long time visiting your site, they may be interacting extensively with it. However, Time on site can be misleading because visitors often leave browser windows open when they are not actually viewing or using your site.
The average duration of visits (sessions) for the selected time frame. Session time is calculated by adding up time on page for each page in the session except for the last page in the session. The average time on site is determined by dividing the total time on site by the number of sessions for the selected time frame.
Calculations do not include the amount of time that visitors spend on the last page in the session, because there is no way to determine how long the visitor spent on the last page.
To illustrate, assume there are 3 visits (sessions) for the day, and you want to know the average visit duration for that day. Let's assume the three visits look like this:
Page 1 (10:00 a.m.) --> Page 2 (10:05) --> Page 3 (10:06) --> Exit
Page 1 (9:00 a.m.) --> Page 2 (9:01) --> Page 3 (9:06) --> Exit Page
1 (2:00 p.m.) --> Page 2 (2:15 p.m.) --> Page 3 (2:16) --> Exit
In each of these sessions, it is possible to use the time stamp on the subsequent pages to calculate the time spent on pages 1 and 2 (5, 1, and 15 minutes respectively). However, it is not possible to calculate how much time the visitors spent on the last page in the session, because there is no data available to Analytics that indicates when the visitor left.
In this example, the calculations would be:
Total time on site: 21 minutes
Average time on site (21/3): 7:00
from http://support.google.com/analytics/bin/answer.py?hl=en&answer=1006253

The time it measures is from opening the app to actually terminating it. So, for instance, if the app is maintained in a background state and you haven't included logic to end the session, your time in app numbers will be artificially inflated if/when it's brought back into the forefront.
I can't speak to the specifics of monitoring an application state, but there is some info on time on site issues for iOS here on SO:
Why are my iOS app's session lengths 30 min + in Google Analytics?

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Ah, and if this answer does help you, please be so kind to mark it as solved and up vote it. Maybe I can get a point or two for it. My points are so low I can't even vote other posts that I like and that helped me.

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Thought it might be helpful to clarify, considering the changes that Google made in Oct '12.
https://developers.google.com/analytics/devguides/collection/other/limits-quotas
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This applies to ga.js, mobile snippets and any other legacy tracking library.
500 hits per session not including ecommerce (item and transaction hit types)
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analytics.js
Each web property starts with 20 hits that are replenished at 2 hit per second. Applies to All hits.
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iOS SDK
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