The Weight of a USB Flash Drive Is 30 Grams $\alpha$

question 32

Multiple Choice

The weight of a USB flash drive is 30 grams and is normally distributed.Periodically, quality control inspectors at Dallas Flash Drives randomly select a sample of 17 USB flash drives.If the mean weight of the USB flash drives is too heavy or too light the machinery is shut down for adjustment; otherwise, the production process continues.The last sample showed a mean and standard deviation of 31.9 and 1.8 grams, respectively.Using $\alpha$ = 0.10, the appropriate decision is to _______.

• A)reject the null hypothesis and shut down the process
• B)reject the null hypothesis and do not shut down the process
• C)fail to reject the null hypothesis and shut down the process
• D)fail to reject the null hypothesis and do not shut down the process)do nothing

Calculate margin of safety and understand its significance.

Analyze the effects of changes in cost structure on CVP outcomes.

Apply CVP analysis to decision-making in both manufacturing and service industries.

Understand the assumptions underlying CVP analysis and their implications.