Statistics for Management and Economics (Book Only)
Statistics for Management and Economics (Book Only)
11th Edition
ISBN: 9781337296946
Author: Gerald Keller
Publisher: Cengage Learning
Question
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Chapter 21.4, Problem 43E
To determine

Calculate the lower control limit and the upper control limit.

Expert Solution & Answer
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Explanation of Solution

The value of centerline (p¯) is 0.035. The lower control limit (LCL) can be calculated as follows:

LCL=p¯3p¯(1p¯)n=0.353(0.035)(10.035)1,000=0.0174

The lower control limit is 0.0174.

The upper control limit (UCL) can be calculated as follows:

UCL=p¯+3p¯(1p¯)n=0.35+3(0.035)(10.035)1,000=0.0524

The lower control limit is 0.0524.

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