A Producer of Specialty Products Uses a Variety of Natural

question 20

Multiple Choice

A producer of specialty products uses a variety of natural and man-made materials to make unique countertops for kitchens and baths. One product line mixes concrete and natural river stone to make countertops that are polished to a high shine revealing unique patterns. Occasionally coarse sand will result in undesirable pitting and rough spots on surfaces. Consequently, as part of its quality control efforts, 8 by 4 metre polished slabs are checked periodically for imperfections. For each slab inspected the number of imperfections (pits, rough spots, etc.) is recorded. What type of control chart should be used for these data?

• A) Individuals chart
• B) p-chart
• C) c-chart
• D) x-bar and R charts
• E) ARL chart

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Definitions:

Working Capital

The difference between a company's current assets and current liabilities, indicating the liquidity available to run its operations.

Beginning

The starting point or initial state of an event, process, or accounting period.

Released

Typically refers to products, information, or software being made available to the public or to a specific group.

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return.