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CSSBB · Question #407

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt's effort…

The correct answer is B. 4.67. See the full explanation below for the reasoning.

Analyze Phase

Question

A Belt working in a supply chain environment has to make a decision to change suppliers of critical raw materials for a new product upgrade. The purchasing manager is depending on the Belt’s effort requiring that the average cost of an internal critical raw material component be less than or equal to $2,800 in order to stay within budget. Using a sample of 55 first article components, a Mean of the new product upgrade price of $2,240 and a Standard Deviation of $120 was estimated. Based on the data provided, the Z value for the data assuming a Normal Distribution is?

Options

  • A2.33
  • B4.67
  • C6.48
  • D8.28

How the community answered

(25 responses)
  • A
    4% (1)
  • B
    76% (19)
  • C
    12% (3)
  • D
    8% (2)

Topics

#Z value#hypothesis testing#sample mean#standard deviation

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