Are Control Charts Based on Actual Behavior or on Desired

question 21

Essay

Are control charts based on actual behavior or on desired behavior? Give an example to illustrate the difference between the two types of behavior.

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Definitions:

Exponential Functions

Mathematical functions characterized by an expression in which a constant base is raised to a variable exponent.

Compound Interest

Interest for a loan or deposit that includes calculations on the original principal amount as well as the interest accumulated from earlier periods.

Decimal Multiplication

A mathematical operation involving the multiplication of numbers represented in decimal form.

Compound Interest

Calculating interest by including both the original principal amount and the interest that has been piled up from former periods.