Modern Inc

question 64

Multiple Choice

Modern Inc.manufactures low-cost tables at a processing cost of $80 per table.The company produces 100 units per day and averages 90% good quality resulting in 10% defective items.Fifty percent of the defective units are reworked prior to shipment to Modern's distribution center.The rework cost is $10 per unit. If the rework cost is increased to $50 the quality productivity ratio (QPR) is

• A)approximately 1.10.
• B)approximately 1.15.
• C)approximately 1.20.
• D)approximately 125.

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Definitions:

Defenestration of Prague

A historical incident in 1618 where two Catholic officials were thrown out of a window in Prague, sparking the Thirty Years' War.

Rudolf II

A Holy Roman Emperor known for his patronage of arts and sciences, and his role in the religious conflicts of his time, reign from 1576 to 1612.

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The ruler of the Holy Roman Empire, a political entity in Central Europe from the 9th to the 19th century, not directly analogous to the ancient Roman Empire.

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A period of major industrialization from the late 18th to mid-19th century that transformed mainly agrarian, rural societies in Europe and America into industrialized, urban ones.