A Manager Wants to Build 3-Sigma Control Limits for a Process

question 113

Multiple Choice

A manager wants to build 3-sigma control limits for a process. The target value for the mean of the process is 10 units, and the standard deviation of the process is 6. If samples of size 9 are to be taken, the UCL and LCL will be

• A) -8 and 28
• B) 16 and 4
• C) 12 and 8
• D) 4 and 16
• E) 8 and 12

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Definitions:

Price Floor

A government or regulatory-imposed minimum price that can be charged for a good or service, intended to ensure fair remuneration for producers or to protect consumers from excessively low prices.

Shortage

A situation where demand for a product or service exceeds the supply available at a specific price.

World Price

The international market price of a good, influenced by global supply and demand.

CD-Rom Drives

Hardware devices used to read data stored on CD-ROMs, commonly used for media and software distribution before the digital era.