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5 0.00 points Problem 9-8 Jones Company found the following information about de

ID: 363925 • Letter: 5

Question

5 0.00 points Problem 9-8 Jones Company found the following information about delivery to customers. Late deliveries were made for 6 percent of the orders. Early arrivals, which are unacceptable to customers, occurred for 4 percent of the orders. The company also experienced a 1.7 percent damage rate during delivery. It also had incorrect information on 5 percent of the invoices billed to customers. Assume that the orders shipped complete are 80.7%. Based on this information, what was the approximate perfect order performance at Jones Company? (Round your answer to 2 decimal places.) order

Explanation / Answer

On time deliveries = 1 - (6% + 4%) = 90%   (both early and late deliveries are considered)

Damage free delivery = 1 - 1.7% = 98.3%

Correct invoices = 1 - 5% = 95%

Complete orders = 80.7%

Perfect order performance = 90%*98.3%*95%*80.7% = 67.83%

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