A Retail Store Wants to See If the Accuracy of the Prices

question 7

Essay

A retail store wants to see if the accuracy of the prices that were entered into its database used for its cash registers is in control.It has collected 10 samples of size 500.The number of errors is found in the table below.Construct a 3-sigma p-chart to determine if this entry process is in control.
$$\begin{array} { | c | c | } \hline \begin{array} { c } \text { Sample } \\\text { Number }\end{array} & \begin{array} { c } \text { Wrong Price } \\\text { Entries }\end{array} \\\hline 1 & 5 \\2 & 2 \\3 & 7 \\4 & 1 \\5 & 3 \\6 & 2 \\7 & 8 \\8 & 1 \\9 & 3 \\10 & 4 \\\hline\end{array}$$

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Definitions:

Cash Flow from Operating Activities

A section of the cash flow statement that shows the cash generated or consumed by a company in its core business operations.

Cash Collected

The total amount of money received by a company during a specified period, including revenues, financing, and investments.

Cash Paid

The total amount of cash disbursed by a company for various purposes, including operating expenses, investment activities, and financing activities.

Revenue Recognition Principle

An accounting guideline that determines the specific conditions under which revenue is recognized or accounted for.