Table 1-Statistical Process Control (SPC) Problem Data for Service Waiting

question 13

Multiple Choice

Table 1-Statistical Process Control (SPC) Problem Data for Service Waiting Times
$\begin{array} { | c | c | c | c | } \hline \begin{array} { c } \text { Sample } \\\text { Number }\end{array} & \multicolumn{3}{|c|} { \text { Observation Number } } \\\hline & 1 & 2 & 3 \\\hline 1 & 9.6 & 10.2 & 9.8 \\\hline 2 & 9.4 & 10.0 & 10.4 \\\hline 3 & 9.9 & 9.6 & 9.0 \\\hline 4 & 9.3 & 10.5 & 9.9 \\\hline 5 & 9.7 & 9.2 & 9.7 \\\hline\end{array}$
-Given the previous results and analysis for the R-chart regarding service waiting times, one would:

• A) conclude that the R-chart is in statistical control and proceed to develop the x-bar chart.
• B) conclude that the R-chart is not in statistical control and proceed to develop the x-bar chart.
• C) investigate sample # 3 as it is outside the R-chart control limits and redo the R-chart.
• D) conclude that the variation is not random and the decreasing trend in the range should be investigated.

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Definitions:

Immediate Profits

Earnings realized in the short term, reflecting the current operations of a business rather than long-term investments.

Marginal Product

The additional output generated by employing one more unit of a particular input, such as labor or capital.

Wage Rate

The rate at which labor is compensated by employers, typically expressed per hour or year.

Short-run Production Function

A mathematical representation of the relationship between a firm's output and the amounts of inputs used, assuming some inputs are fixed.