a-1. Without the inspector, what is the current hourly cost of defects? Note: Round your answer to 2 decimal places. a-2. Should an inspection station be established to test all units based on costs alone? a-3. If the inspection operation is added, what would be the cost to inspect each unit? Note: Round your answer to 2 decimal places.
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Output from a process contains 0.02 defective unit. Defective units that go undetected into final assemblies cost $25 each to replac An inspection process, which would detect and remove all defectives, can be established to test these units. However, the inspector, who can test 22 units per hour, is paid $10 per hour, including
a-1. Without the inspector, what is the current hourly cost of defects?
Note: Round your answer to 2 decimal places.
a-2. Should an inspection station be established to test all units based on costs alone?
a-3. If the inspection operation is added, what would be the cost to inspect each unit?
Note: Round your answer to 2 decimal places.
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