Introduction to Statistical Quality Control
Introduction to Statistical Quality Control
7th Edition
ISBN: 9781118146811
Author: Montgomery, Douglas C.
Publisher: John Wiley & Sons Inc
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Chapter 2, Problem 11DQE

Suppose that your business is operating at the Three Sigma quality level. If projects have an average improvement rate of 50% annually, how many years will it take to achieve Six Sigma quality?

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Cynthia’s Design Studios had sales in the last four months of $12,700, $14,500, $19,100, and $15,800. Sales are related to how many designers Cynthia has on duty. The sales forecast helps her decide on the proper staffing levels.  What is the forecast for the fifth month using a two-period moving average? What is the forecast for the fifth month using = 0.8 in an exponential smoothing model with A4 = $15,800 and F4 = $17,913 to get things started.
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If actual period demand varies from the forecast by more than 3MAD, this indicates: there is 3% chance that the forecast is wrong. there is a 98% chance that the forecast is wrong. there is a 97% chance that the forecast is wrong. there is a 3% chance that the forecast is correct Moving to the next question prevents changes to this answer:

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