A Manufacturing Process Produces Computer Chips in Batches of 100

question 58

Multiple Choice

A manufacturing process produces computer chips in batches of 100. The firm believes that the percent of defective computer chips is 2%. If in five batches the percent of chips defective were 3%, 8%, 1%, 2%, and 7%, how many of these fell outside of the upper or lower control limits for the proportion of defective computer chips in a batch?

• A) 0
• B) 1
• C) 2
• D) 3

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Definitions:

Antitrust Laws

Laws designed to promote fair competition for the benefit of consumers, by regulating anti-competitive practices and promoting market fairness.

Consent Decrees

Legal agreements that settle disputes between parties without admission of guilt, often used by regulatory agencies to enforce compliance.

Sherman Act

A foundational antitrust law in the United States that prohibits monopolistic practices and promotes competition.

Clayton Act

An antitrust law enacted in the United States in 1914, aimed at preventing anti-competitive practices and monopolies.