Question: A company has been asked by an important customer to
A company has been asked by an important customer to demonstrate that its process capability ratio Cp exceeds 1.33. It has taken a sample of 50 parts and obtained the point estimate Cp = 152. Assume that the quality characteristic follows a normal distribution. Can the company demonstrate that Cp exceeds 1.33 at the 95% level of confidence? What level of confidence would give a one-sided lower confidence limit on Cp that exceeds 1.33?
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