Answered: Proportion Defective Proportion…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

Over a period of 12 consecutive production hours, samples of size 50 resulted in the following proportions of defective items: (given)

a. What are the three-sigma control limits for this process?
b. Do any of the sample points fall outside of the control limits?
c. The company claims a defect rate of 3 percent for these items. Are the observed proportions consistent with a target value of 3 percent defectives? What difficulty would arise if the control limits were based on a target value of 0.03? In view of the company’s claims, what difficulty would arise if the control limits computed in part (a) were used?

Proportion
Defective
Proportion
Defective
Sample Number
Sample Number
1
.04
7
.10
2
.02
8
.10
3
.06
.06
4
.08
10
.08
.08
11
.04
6.
.04
12
.04

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