The Hawkins Company randomly samples 10 items from every large batch before the batch is packaged and shipped. According to the contract specifications, 5 percent of the items shipped can be defective
If the inspectors find 1 or fewer defects in the sample of 10, they ship the batch without further inspection. If they find 2 or more, the entire batch is inspected. Based on this sampling plan, the probability that a batch that meets the contract requirements will be shipped without further inspection is approximately .9139. Indicate whether the statement is true or false
TRUE
Business
You might also like to view...
Allowance for Doubtful Accounts on the balance sheet
A. increases the net realizable value of accounts receivable B. is offset against total current assets C. is a contra-account to accounts receivable D. appears under the heading "Other Assets"
Business
In an interview, once you skip a question you can return to it
Indicate whether the statement is true or false
Business