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A large insurance company processes 1,000 claims per day and has found that, on

ID: 3379835 • Letter: A

Question

A large insurance company processes 1,000 claims per day and has found that, on average, 4.75% of these processed claims have defects.

What would be the standard deviation of the sampling distribution if you were to use a sample size of 200?

What is the upper control limit of a 3-sigma p-chart if the sample size is 200?

What is the lower control limit of a 3-sigma p-chart if the sample size is 200?

What is the upper control limit of a 3-sigma p-chart if the sample size is 100?

What is the lower control limit of a 3-sigma p-chart if the sample size is 100?

Explanation / Answer

A large insurance company processes 1,000 claims per day and has found that, on

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