A manager at ABC Insurance Co. uses a control chart to monitor the daily defect ratefor data entry of insurance claims. Suppose that the number of claims processed (and examined by the manager) per day is 100. For a total time span of 50 days, the manager has calculated the overall average daily defect rate as 1.00% = 0.01.

What is the 3-sigma upper control limit of the chart used by the manager?

Note: 1. Enter a number between 0 and 1, after rounding to three decimal places; for example, if the control limit is 25.1%=0.251, just enter 0.251. Enter 0 if you get a negative number.

2. The daily defect rate is defined as: (the number of claims with an data entry error each day) / (the number of claims processed and examined each day)