Use a Modern Software Tool to Perform Statistical Calculations -What Is the Total Cost Incurred by the Company?
A)

question 42

Multiple Choice

Use a modern software tool to perform statistical calculations.
Use the table below to answer the following question(s) using the standard Solver. Below is the spreadsheet for Memphis Designs fixed cost model: $\begin{array}{|l|c|c|c|c|}\hline & \mathrm{A} & \mathrm{B} & \mathrm{C} & \mathrm{D} \\\hline 1 &{\text { Memphis Design Fixed Cost Model }} & & \\\hline 2 & & & & \\\hline 3 & \text { Data } & \\\hline 4 & & \\\hline 5 & \text { Cost } & \text { Quarter 1 } & \text { Quarter 2 } & \text { Quarter 3 } \\\hline 6 & \text { Production } & \$ 10.00 & \$ 15.00 & \$ 13.50 \\\hline 7 & \text { Inventory } & \$ 1.70 & \$ 1.70 & \$ 1.70 \\\hline 8 & \text { Demand } & 200 & 450 & 75 \\\hline 9 & \text { Fixed Cost } & \$ 75.00 & \$ 75.00 & \$ 75.00 \\\hline 10 & \\\hline 11 & \text { Model } \\\hline 12 & \\\hline 13 & & \text { Quarter 1 } & \text { Quarter 2 } & \text { Quarter 3 } \\\hline 14 & \text { Production } & & & \\\hline 15 & \text { Inventory } \\\hline 16 & \text { Binary } \\\hline 17 & \\\hline 18 & \text { Binary constraints } \\\hline 19 & \text { Net Production } \\\hline 20 & & \\\hline 21 & & \text { Cost } \\\hline 22 & \text { Total } & \\\hline\end{array}$
-What is the total cost incurred by the company?

• A) $ 8,345.00
• B) $ 10,756.80
• C) $ 7,289.62
• D) $ 9,582.75

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Definitions:

Six Sigma

A set of techniques and tools for process improvement, aiming at reducing defects and variability in manufacturing and business processes to improve quality and efficiency.

Control Chart

A graphical tool used in process control to display how a process varies over time and whether it remains within predefined limits.

Defects Per Unit

The average number of defects found in each unit of output or product.

Acceptance Sampling

A statistical quality control method used to determine whether to accept or reject a batch of products based on sampling a few units from the batch.