Suppose a Computer Chip Manufacturer Rejects 4% of the Chips

question 71

Multiple Choice

Suppose a computer chip manufacturer rejects 4% of the chips produced because they fail presale testing.If 135 chips are picked at random,is it appropriate to use a normal model to approximate the distribution of the number of bad chips?

• A)No;normal model cannot be used to approximate the distribution because np < 10
• B)Yes;normal model with μ = 129.6 and σ = 2.28 can be used to approximate the distribution
• C)Yes;normal model with μ = 5.4 and σ = 2.28 can be used to approximate the distribution
• D)No;normal model cannot be used to approximate the distribution because nq < 10
• E)Yes;normal model with μ = 5.4 and σ = 5.18 can be used to approximate the distribution

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Definitions:

Income Distribution

The way in which total income is divided among the population or different groups within society.

Redistributing Income

The process of adjusting the distribution of income within a society, typically through taxation and government spending.

Consumer Satisfaction

A measure of how products and services supplied by a company meet or surpass customer expectation.

Diminishing Marginal Utility

The principle that as a person consumes more of a product, there is a decline in the additional satisfaction or utility that person derives from consuming one more unit of the product.