The Amount of Inspection Needed Is Governed by the Costs

question 31

True/False

The amount of inspection needed is governed by the costs of inspection and the expected costs of passing defective items.

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Definitions:

Test Statistic

A calculated value from sample data used to decide whether to reject the null hypothesis in statistical hypothesis testing.

Significant Change

An alteration in data or a pattern that is considered to be of importance due to its impact or magnitude.

Goodness of Fit

A statistical test to see how well sample data fits a distribution from a population with a normal distribution.

Degrees of Freedom

The number of independent values or quantities that can variably assign to a statistical calculation without breaking any constraints.