The Quality Control Manager for the NKA Inc

question 87

Essay

The quality control manager for the NKA Inc.must decide whether to accept (alternative 1),further analyze (alternative 2),or reject (alternative 3)the shipment (lot)of incoming material.The historical data indicates that there is 30% chance that the lot is poor quality (S₁),50% chance that the lot is fair quality (S₂),and 20% chance that the lot is good quality (S₃).Assume the following payoff table is available.The values in the payoff table are in thousands of dollars. Based on historical data,if the lot is poor quality,40% of the items are defective.If the lot is fair quality 22% of the items are defective.If the lot is good quality,10% of the items are defective.The quality control manager inspects one unit from a recent shipment.
After inspecting it,he determines that the unit is defective.If the inspected item is defective,determine which alternative action the quality control manager should choose.

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Definitions:

Peace From Suffering

An emotional or mental state achieved when one finds relief or liberation from pain, distress, or hardship.

Future Expectations

Future expectations refer to the anticipations or outlooks regarding what may happen or what one may achieve in the future.

Discrepancy Expectations

The gap between anticipated outcomes and actual results, often leading to dissatisfaction or reevaluation.

Self-Defeating Behaviors

Actions or behaviors that undermine one's own goals, success, or well-being, often as a result of internal conflicts or psychological issues.