A Company Produces a Product Which Is Designed to Weigh

question 17

Multiple Choice

A company produces a product which is designed to weigh 10 oz., with a tolerance of 0.5 oz. The process produces products with an average weight of 9.95 oz. and a standard deviation of 0.10 oz. According to the process capability index

• A) the process mean is off centre and most of the items are defective.
• B) the process is capable of meeting design specifications.
• C) the process mean is centred on the design target.
• D) none of the above.

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Definitions:

Day-to-Day Operations

These are the routine activities that a business or organization conducts on a regular basis to ensure its smooth and ongoing functioning.

Tortious Acts

Actions that cause harm or injury to another person, making the actor legally liable for damages.

Franchisor Liability

Legal responsibility of the franchisor for certain happenings within the franchisee's business operation, depending on the level of control exercised by the franchisor.

Annual Sales

The total revenue generated from goods or services sold over a fiscal year.