A furniture manufacturer sells three types of products: chairs, tables, and beds

Question

A furniture manufacturer sells three types of products: chairs, tables, and beds. Chairs constitute 35% of the company's sales, tables constitute 55% of the sales, and beds constitute the rest. Of the company's chairs, 5% are defective and have to be returned to the shop for minor repairs, whereas the percentage of such defective items for tables and beds are 12% and 8% respectively. Determine the proportion of the company's products that are not defective. Round your result to 2 significant places after the decimal (For example, 0.86732 should be entered as 0.87).

Explanation / Answer

type                      percent of sales % defective         % non-defective

chair                     35%                                     5%                         100-5 =95%

table                     55%                                     12%                      100-12% =88%

bed                       100-35-55=10%                8%                         100-8 =92%

so proportion of product which are not defective =0.35*0.95 + 0.55*0.88 + 0.10*0.92

                                                                                          =0.3325 + 0.484 + 0.092             

                                                                                          = 0.91

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