By Design, a Required Dimension on a Part Is 0

question 3

Multiple Choice

By design, a required dimension on a part is 0.575 cm plus or minus 0.008 cm. Assume that the process producing this part is stable with a mean of 0.579 cm and standard deviation of 0.002 cm. What is the Cp index?

• A) 1.33
• B) 2.00
• C) 0.67
• D) 1.00
• E) 0.33

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Definitions:

Property Tax Rates

The percentage of a property's assessed value that is charged as tax by local governments to fund public expenses.

Break-even Point

The sales level at which total revenues equate to total costs, resulting in no profit or loss, indicating the minimum sales necessary to cover all expenses.

Fixed Costs

Expenses that do not change with the level of production or sales activity, such as rent, salaries, and insurance premiums.

Unit Contribution Margin

The difference between the selling price per unit and the variable cost per unit, indicating how much each unit sold contributes to fixed costs and profits.