TABLE 18-4 A Factory Supervisor Is Concerned That the Time It Takes

question 55

Multiple Choice

TABLE 18-4
A factory supervisor is concerned that the time it takes workers to complete an important production task (measured in seconds) is too erratic and adversely affects expected profits.The supervisor proceeds by randomly sampling 5 individuals per hour for a period of 10 hours.The sample mean and range for each hour are listed below. She also decides that lower and upper specification limit for the critical-to-quality variable should be 10 and 30 seconds,respectively.
-Referring to Table 18-4,suppose the supervisor constructs an chart to see if the process is in-control.What is the center line of the chart?

• A)20.00
• B)20.26
• C)21.00
• D)24.26

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Definitions:

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock, usually with fixed dividends.

Par Value

The nominal or face value of a bond, share of stock, or other financial instrument, as stated by the issuer.

EPS Growth Rate

Refers to the rate at which a company's earnings per share (EPS) has grown over a specific period, usually annually, indicating the company's profitability growth.

Rate of Return

The increase or decrease in the value of an investment throughout a certain period, represented as a fraction of the original investment's price.