Suppose a Quality Manager for Dell Computers Has Collected the Following

question 16

Multiple Choice

Suppose a quality manager for Dell Computers has collected the following data on the quality status of disk drives by supplier.She inspected a total of 700 disk drives. What is the probability of a defect given that company B supplied the disk drive?

• A)0.077
• B)0.28
• C)0.021
• D)0.76

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Definitions:

Gear Restrictions

Regulations or limits set on the range of gears that can be used in certain vehicles or machinery to ensure safety or efficiency.

Marginal Social Cost

The cumulative expense to the community for creating an extra unit of a product or service.

Private Cost

The cost incurred by a person or a firm directly involved in a transaction, excluding any external or social costs.

Efficient Outcome

A situation where resources are allocated in the most effective way possible, maximizing benefits without wasting resources.