Sarah Soliz, Director of Quality Programs, Is Designing $\bar { x }$

question 52

Multiple Choice

Sarah Soliz, Director of Quality Programs, is designing $\bar { x }$ and R charts for the rod shearing process at Stockton Steel.She has 26 samples of rod length, and each sample included measurements of 5 rods.The mean of the 26 sample means is 112 inches, and mean of the 26 ranges is 0.15 inch.The centerline for her $\bar { x }$ chart is _________.

• A)5
• B)26
• C)0.15
• D)11.2
• E)112

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Definitions:

Net Cash Inflow

The difference between all cash receipts and all cash payments over a period of time, showing the net increase or decrease in cash.

Time Value of Money Concept

The principle that money available now is worth more than the same amount in the future due to its potential earning capacity.

Capital Investment Analysis

The process of evaluating and making decisions about capital expenditures or investments in projects that will have long-term implications for a business.

Net Present Value Method

A method used in capital budgeting to assess the profitability of an investment by calculating the present value of its expected cash flows minus the initial investment cost.