A Process Capability Index (C_p)of 0

question 77

True/False

A process capability index (C_p)of 0.70 indicates that a process is capable of producing to design specifications.

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Definitions:

Materials Price Variance

The difference between the actual cost of materials used in production and the expected (standard) cost.

January

is the first month of the year in the Gregorian calendar, often associated with fresh starts and planning.

Labor Rate Variance

The difference between the actual cost of labor and the standard cost, calculated by subtracting the standard labor cost from the actual labor cost.

February

February is the second month of the year in the Gregorian calendar, known for having 28 days in common years and 29 days in leap years.