Question: A banking center has instituted a process improvement program to reduce and hopefully eliminate errors in their check processing operations. The current error rate is

A banking center has instituted a process improvement program to reduce and hopefully eliminate errors in their check processing operations. The current error rate is 0.01. The initial objective is to cut the current error rate in half. What sample size would be necessary to monitor this process with a fraction nonconforming control chart that has a non-zero LCL? If the error rate is reduced to the desired initial target of 0.005, what is the probability of a sample nonconforming from this improved process falling below the LCL?

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