Exhibit 6-7 The Weight of Items Produced by a Machine Is Normally

question 54

Multiple Choice

Exhibit 6-7
The weight of items produced by a machine is normally distributed with a mean of 8 ounces and a standard deviation of 2 ounces.
-Refer to Exhibit 6-7. What percentage of items will weigh at least 11.7 ounces?

• A)46.78%
• B)96.78%
• C)3.22%
• D)53.22%

Understand how organizations apply differentiation strategies to stand out from the competition.

Comprehend the concept and importance of strategic choice in developing competitive advantage.

Know the characteristics of mechanistic and organic organizations and their implications for organizational design.

Understand organizational fundamentals including division of labor, hierarchy of authority, and decision-making structures.

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Definitions:

Internal Rate of Return (IRR)

The discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero, used to assess the profitability of potential investments.

Mutually Exclusive Projects

Investment opportunities where the acceptance of one project prevents the acceptance of another, requiring a choice to be made based on potential returns.

Initial Cost

Initial cost is the total expense incurred to acquire an asset or start a project, including purchase price and all related fees.

Net Present Value (NPV)

A financial metric that calculates the difference between the present value of cash inflows and the present value of cash outflows over a period of time, used to assess the profitability of investments.