SCENARIO 18-6
the Maker of a Packaged Candy Wants to Evaluate

question 51

True/False

SCENARIO 18-6
The maker of a packaged candy wants to evaluate the quality of her production process. On each of
16 consecutive days, she samples 600 bags of candy and determines the number in each day's sample
that she considers to be of poor quality. The data that she developed follow. $$\begin{array} { r c c } \underline {\text { Day }} & \begin{array} { c } \text { Number } \\\underline {\text { Poor }}\end{array} & \begin{array} { c } \text { Proportion } \\\underline {\text { Poor }}\end{array} \\1 & 33 & 0.0550000 \\2 & 29 & 0.0483333 \\3 & 31 & 0.0516667 \\4 & 32 & 0.0533333 \\5 & 43 & 0.0716667 \\6 & 45 & 0.0750000 \\7 & 46 & 0.0766667 \\8 & 48 & 0.0800000 \\9 & 48 & 0.0800000 \\10 & 46 & 0.0766667 \\11 & 28 & 0.0466667 \\12 & 32 & 0.0533333 \\13 & 28 & 0.0466667 \\14 & 32 & 0.0533333 \\15 & 31 & 0.0516667 \\16 & 24 & 0.0400000\end{array}$$
-Referring to Scenario 18-6, the process seems to be in control.

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Definitions:

User Costs

The cost of using a product or service, not just its purchase price but including maintenance, operating, and opportunity costs.

Renewable Resources

Natural resources that can be replenished over short periods of time, such as solar energy, wind, and biomass.

Harvest Rates

The quantity or percentage of a natural resource that is removed or harvested from its source within a certain time period.

Replenishment Rates

The speed at which inventory is replaced after sales, crucial for maintaining optimal stock levels.