A company is in the process of developing an acceptance plan for attributes using statistics. They have determined that the percent defectives, p-bar, should be 796, using a sample size of 100, and with alpha equal to .05. a) What is the upper limit for the test? b) I the number of defectives from a sample lot equals 10, what should they do about the lot?
Expert Answer
Given,
Pbar = 0.07
Sample size = n = 100
Upper Control Limit
= Pbar + alpha x Square root ( pbar x ( 1 – pbar)/n)
=0.07 + 0.05 x Square root ( 0.07 x
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