A Machining Process Is Capable of Producing a Component with an Average

question 4

Multiple Choice

A machining process is capable of producing a component with an average specification of 5 inches and a process standard deviation of 0.1 inch.Supposing the customer accepts the component as long as it falls between 4.8 inches and 5.2 inches,then the process capability is

• A) 1.333.
• B) 1.5.
• C) 0.667.
• D) 1.0.

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Definitions:

Sale On Account

A transaction where goods are sold and payment is deferred to a later date, creating an account receivable for the seller.

Accounts Payable Subsidiary Ledger

A detailed ledger that breaks down the amounts owed by a business to its suppliers or vendors into individual accounts.

Purchases Journal

A special journal used to record all purchases of merchandise on credit, tracking the accumulation of goods over a period.

Equipment Purchased

The acquisition of physical assets like machinery or technology used in the production of goods or services.