MKS Inc, Produces Meter Sticks That Have a Target Length of of 100

question 70

Multiple Choice

MKS Inc., produces meter sticks that have a target length of 100 centimeters with upper and lower specification limits of 100.05 and 99.95 centimeters respectively. Their existing process produces meter sticks with an average length of 100.00 centimeters and a standard deviation of 0.015 centimeters. What is their current process capability index?

• A) 0.44
• B) 0.83
• C) 1.11
• D) 1.26

---

Definitions:

Credit Sales

Transactions where the customer purchases goods or services on credit and pays the seller at a later date.

Bank Credit Cards

Payment cards issued by banks that allow cardholders to borrow funds within a pre-approved limit for purchases or cash advances.

Freight-In

The cost associated with transporting raw materials or goods into a facility, typically considered as part of the inventory cost.

Cost of Goods Sold

The total cost of materials and labor directly involved in producing goods sold by a company during a specific period.