Which of the Following Is True About Six Sigma

question 102

Multiple Choice

Which of the following is true about Six Sigma?

• A)The higher the number of "sigmas" the higher the number of errors.
• B)At Six Sigma,a production process would be 90.66 percent accurate.
• C)Several firms have achieved perfection-having no errors-with Six Sigma.
• D)It is almost impossible for a company to achieve Six Sigma perfection.

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Definitions:

Underapplied Manufacturing Overhead

A scenario in which the overhead costs assigned to manufacturing are lower than the overhead costs that were actually incurred.

Finished Goods Inventory

The final products that are completed and ready for sale but have not yet been sold to customers.

Overapplied Manufacturing Overhead

A situation where the allocated manufacturing overhead costs for a period exceed the actual overhead costs incurred.

Underapplied Manufacturing Overhead

A situation where the estimated manufacturing overhead cost is less than the actual overhead incurred during a period.