Ladder Manufacturing Specifies the Quality Characteristic of One of Its

question 109

Multiple Choice

Ladder Manufacturing specifies the quality characteristic of one of its popular products to be 0.400" ± 0.010. An analysis of company records for the last two years suggests that the average cost for warranty repair or replacement is $100.00 per unit. The customer service manager believes that the product is likely to fail during the warranty period when the quality characteristic exceeds on either side of the target of 0.400, by the tolerance of 0.010.

What is the amount of the estimated loss, L(x) , using a Taguchi Quality Loss Function (QLF) , if the actual quality characteristic, x, is 0.41? Round final answer to nearest dollar.

• A) $25.
• B) $100.
• C) $10,000.
• D) $4,000,000.
• E) $4,100,000.

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Definitions:

Reserved Powers

Reserved powers refer to the authorities and rights not explicitly granted to the federal government by the Constitution, therefore reserved for the states and the people, as outlined in the Tenth Amendment of the United States Constitution.

Tenth Amendment

An amendment to the United States Constitution stating that the powers not delegated to the United States by the Constitution, nor prohibited by it to the states, are reserved to the states respectively, or to the people.

Defense of Marriage Act

A federal law enacted in 1996 that defined marriage as the union between one man and one woman, denying federal recognition of same-sex marriages until it was ruled unconstitutional in 2013.

Windsor v. United States

A landmark Supreme Court case that declared Section 3 of the Defense of Marriage Act (DOMA) unconstitutional, advancing the rights of same-sex couples.