In Quality Control Terminology, the Statistical Procedure of Acceptance Sampling's

question 33

Multiple Choice

In quality control terminology, the statistical procedure of acceptance sampling's null hypothesis is that

• A) the lots are not equal.
• B) lot 1 is greater than lot 2.
• C) it is a good-quality lot.
• D) it is a poor-quality lot.

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Definitions:

Cash Savings

Funds that have been preserved as a reserve and are readily available for use when needed.

Required Rate Of Return

The minimum expected rate of return on an investment, necessary to compensate for the risk undertaken, varying between investments.

Salvage Value

The projected remaining worth of an asset when it reaches the end of its operational lifespan.

Net Present Value

A method used in capital budgeting to calculate the value of an investment by discounting future cash flows back to their present value, to assess its profitability.