Defects in the Finish of New, Custom, Automobiles Usually Require

question 39

Multiple Choice

Defects in the finish of new, custom, automobiles usually require the whole body to be repainted. In one "custom" shop, the percentage of defective finishes has been 2 percent. If a sample size of 10 is taken, what should be the 99.7 percent upper control limit be?

• A) 0.1328
• B) 0.1085
• C) 0.0443
• D) 0.1528
• E) None of the above

---

Definitions:

Federal Budget Deficit

The shortfall when the total government expenditures exceed its revenues in a fiscal year, requiring borrowing to cover the gap.

Antitrust Laws

Legislation enacted to prevent or limit monopolies, promote competition, and safeguard consumer rights by regulating anti-competitive practices.

X-Coordinate

The horizontal value in a pair of coordinates that indicates a point's location on a two-dimensional graph.

Circular-Flow Diagram

The circular-flow diagram is an economic model illustrating the flow of goods and services, income, and payments between households and businesses in an economy.