Too Many Observations on One Side of the Centre Line

question 78

Multiple Choice

Too many observations on one side of the centre line on a run chart is an indication of what?

• A)cycles
• B)trend
• C)bias
• D)level shift
• E)too much dispersion

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Definitions:

Perishable Products

Goods that deteriorate over a short period or have a limited shelf life, requiring timely sale and use.

Credit Periods

The length of time that a lender or supplier allows for payment after a purchase or loan is made.

Credit Terms

The conditions under which credit will be extended to a borrower, including the repayment schedule, interest rate, and duration of the loan.

ACP

Average Collection Period, measuring the average number of days it takes a company to collect its accounts receivable.