Instruction 18-16 A Factory Supervisor Is Concerned That the Time It Takes

question 67

Short Answer

Instruction 18-16
A factory supervisor is concerned that the time it takes workers to complete an important production task (measured in seconds) is too erratic and adversely affects expected profits. The supervisor proceeds by randomly sampling five individuals per hour for a period of 10 hours. The sample mean and range for each hour are listed below.
She also decides that lower and upper specification limit for the critical-to-quality variable should be 10 and 30 seconds, respectively.
-Referring to Instruction 18-16,what is the value of the CPU index?

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Definitions:

Goodyear

A multinational company known for its tire and rubber products.

Inventory

The complete inventory of products and materials in possession of a business, intended either for production or for selling.

LIFO Method

An inventory valuation method that assumes the last items placed in inventory are the first sold during an accounting year; stands for Last-In, First-Out.

Ending Inventory

The total value of a company's merchandise, raw materials, and finished and unfinished products which have not yet been sold, at the end of an accounting period.