A Quality Manager in a Small Manufacturing Company Wants to Estimate

question 74

Multiple Choice

A quality manager in a small manufacturing company wants to estimate the proportion of items produced by a very specialized process that fail to meet a customer's specification.Because it is very expensive to determine if an item produced by the process meets the specification,only a very small number of items can be tested.A random sample of 15 items was selected,and in the sample three of them failed.At the 98% confidence level,what is the margin of error in the plus four estimate of p?

• A)0.198
• B)0.023
• C)0.235
• D)0.261
• E)Not within ± 0.01 of any of the above

Comprehend the impact of private information on economic decisions and market efficiency.

Explain the role of correlated and independent risks in investment strategies and risk reduction.

Understand the concept of adverse selection and its impact on the market.

Grasp the concept of moral hazard and how it influences individual and business actions.

---

Definitions:

Octet

The state of an atom achieved when it has a full valence shell of eight electrons, making it stable and less reactive.

Methyl Chloride

A colorless, flammable gas used as a refrigerant, solvent, and in organic synthesis.

Lewis Structure

A representation that illustrates valence electrons as dot pairs or dashes around atoms within a molecule, highlighting the bond formations between atoms.

Bromine

A chemical element with the symbol Br and atomic number 35, known for its reddish-brown color and halogen properties.