Question: QUESTION 19 A company currently using an inspection process in its material receiving department is trying to reduce costs. One possible reduction is to eliminate

QUESTION 19 A company currently using an
QUESTION 19 A company currently using an
QUESTION 19 A company currently using an inspection process in its material receiving department is trying to reduce costs. One possible reduction is to eliminate the inspection position. This position tests material that has, on average, a 2 percent defective rate. By inspection, the inspector can remove all dclective items The inspector can inspect 100 units per hour. The inspector's hourly wage, which includes fringe benefits, is $20 per hour. If the inspection position in eliminated, defects will go into the final product. When the product does not work during the final product testing it will cost the company $20 to repair the product What is the benefit (or loss) from the current inspection process? *Give specific numerical values to back up your assertion Should the inspection position be eliminated? QUESTION 20 At Choco-Lovers chocolate manufacturing plant, every 30 minutes a random sample of 40 chocolate bars are lected Choco-Lovers has twined that the upper controllimit is equal to 0.30 and the lower controllimit is equal to 0 Sample Defects 1 10 UCL=0.30 2 2 5 15 ta =0 5 3 Using the control limits give above, you are asked to evaluate the next five samples. In the table provided below, for each sample, circle "Yes" that sample is out of control and "No." Note do not recalculate the control tilmits using the sample data given in the table. Use the control limits given in the problem: vel - 0.30 and LCL-. Is the sample in control? 1. Yes or No 2. Yes or No 3. Yes or No 4. Yes or No 5. Yes or No

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