Garcia's Garage desires to create some colorful charts and graphs to illustrate how reliably its mechanics "get under the hood and fix the problem." The historic average for the proportion of customers that return for the same repair within the 30-day warranty period is 0.09. Each month, Garcia tracks 130 customers to see whether they return for warranty repairs. The results are plotted as a proportion to report progress toward the goal. If the control limits are to be set at three standard deviations on either side of the goal, determine the control limits for this chart. In March, 4 of the 130 customers in the sample group returned for warranty repairs. Is the repair process in control? The UCL equals 0.165 and the LCL, equals 0.015. (Enter your responses rounded to three decimal places.) Is the repair process in control? O A. The sample proportion is outside the control limits, so the repair process is in control. O B. The sample proportion is within the control limits, so the repair process is not in control. O C. The sample proportion is outside the control limits, so the repair process is not in control. O D. Since the sample proportion is close to one of the control limits, the results are inconclusive. O E. The number of returns for service is below average, but the sample proportion is within the control limits, so the repair process is still in control.
Garcia's Garage desires to create some colorful charts and graphs to illustrate how reliably its mechanics "get under the hood and fix the problem." The historic average for the proportion of customers that return for the same repair within the 30-day warranty period is 0.09. Each month, Garcia tracks 130 customers to see whether they return for warranty repairs. The results are plotted as a proportion to report progress toward the goal. If the control limits are to be set at three standard deviations on either side of the goal, determine the control limits for this chart. In March, 4 of the 130 customers in the sample group returned for warranty repairs. Is the repair process in control? The UCL equals 0.165 and the LCL, equals 0.015. (Enter your responses rounded to three decimal places.) Is the repair process in control? O A. The sample proportion is outside the control limits, so the repair process is in control. O B. The sample proportion is within the control limits, so the repair process is not in control. O C. The sample proportion is outside the control limits, so the repair process is not in control. O D. Since the sample proportion is close to one of the control limits, the results are inconclusive. O E. The number of returns for service is below average, but the sample proportion is within the control limits, so the repair process is still in control.
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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Transcribed Image Text:Garcia's Garage desires to create some colorful charts and graphs to illustrate how reliably its mechanics "get under the hood and fix the problem." The historic average for the
proportion of customers that return for the same repair within the 30-day warranty period is 0.09. Each month, Garcia tracks 130 customers to see whether they return for
warranty repairs. The results are plotted as a proportion to report progress toward the goal. If the control limits are to be set at three standard deviations on either side of
the goal, determine the control limits for this chart. In March, 4 of the 130 customers in the sample group returned for warranty repairs. Is the repair process in control?
The UCL, equals 0.165 and the LCLp equals 0.015. (Enter your responses rounded to three decimal places.)
Is the repair process in control?
O A. The sample proportion is outside the control limits, so the repair process is in control.
O B. The sample proportion is within the control limits, so the repair process is not in control.
O C. The sample proportion is outside the control limits, so the repair process is not in control.
O D. Since the sample proportion is close to one of the control limits, the results are inconclusive.
O E. The number of returns for service is below average, but the sample proportion is within the control limits, so the repair process is still in control.
Expert Solution
Step 1: Given:- Historic average is given as 0.08 for 130 customers
Therefore,
P= 0.08 and n=130
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