What Is the Taguchi Constant for a Device That Costs

question 59

Multiple Choice

What is the Taguchi constant for a device that costs $500 to repair and a tolerance of plus or minus 2 mm with a mean squared deviation from the target of 3?

• A) 125
• B) 1125
• C) 55
• D) 222
• E) 532

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Definitions:

Rate Of Return

The gain or loss of an investment over a certain period, expressed as a percentage of the investment's initial cost.

Npvgo

Net Present Value of Growth Opportunities; a measure evaluating the profitability of future investments by comparing their present value to the initial outlay.

Required Return

The minimum annual return rate that incites people or companies to allocate resources to a particular investment or project.

Constant Growth

A model in finance that assumes a stock’s dividends will continue to grow at a uniform rate indefinitely, used to estimate the stock's current value.