Most producers sell their goods directly to final users
Indicate whether the statement is true or false
FALSE
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Internal reports on quality at the Acme Publishing Company generated the following information for the Trade Division for the first three months of the year: Total sales $1,000,000 Costs of quality: Prevention 22,500 Appraisal 47,000 Internal failure 36,000 External failure 64,000 Compute the costs of nonconformance as a percentage of total sales
a. 12.0% b. 5.4% c. 1.3% d. 10%
Promotion to encourage trial uses attempts to retain loyal customers.
Answer the following statement true (T) or false (F)
Chez Paul Restaurant orders special Styrofoam "doggy bags" for its customers once a month and lead time is one week. Weekly demand for doggy bags is approximately normally distributed with an average of 120 bags and a standard deviation of 25 . Chez
Paul wants at most a 3% chance of running out of doggy bags during the replenishment period. If he has 150 bags in stock when he places an order, how many additional bags should he order? What is the safety stock in this case?
A precision parts manufacturer produces bolts for use in military aircraft. The specifications for bolt length are 37.50 ± 0.25 cm. The company has established an -chart and an R-chart using samples of size five. The center lines for the -chart and R-chart are set at 35.25 cm and 1.08 cm, respectively. What is the value of Cp for this process?
a. 1.333 b. 0.179 c. 0.301 d. 0.166