The RC and More Superstore Decides to Track Customer Complaints

question 3

Multiple Choice

The RC and More Superstore decides to track customer complaints as part of their ongoing customer satisfaction improvement program. After collecting data for two months, their check sheet appears as follows:
If they construct a Pareto chart, what is the cumulative percentage of the two leftmost bars?

• A) 20%
• B) 28%
• C) 54%
• D) 68%
• E) 80%

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Definitions:

Machine-Hours

A measure of the amount of time a machine is operated, used in manufacturing to allocate costs or determine efficiency.

Equipment Depreciation

The process of allocating the cost of tangible assets over their useful lives, reflecting the wear and tear, or obsolescence of physical equipment.

Machining Activity

The process of removing material from a piece of work through methods like cutting, drilling, or milling.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to related products and services based on their usage of resources.