A Belt Working in a Supply Chain Environment Has to Make

question 63

Multiple Choice

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade.  The purchasing manager is depending on the Belt's effort requiring that the average cost of an internal critical raw material component be less than or equal to $4,200 in order to stay within budget.  Using a sample of 35 first article components, a Mean of the new product upgrade price of $4,060, and a Standard Deviation of $98 was estimated. The Alternative Hypothesis in the above example is?

• A) The Standard Deviation is equal to $300.
• B) The Mean is less than $4,320.
• C) The Mean is equal to $4,060.
• D) The Mean is less than $4,200.
• E) The Mean is greater than $ 4,200.