Test Bank ch.3s Supplement 3 Acceptance Sampling 4e

Supplement 3:
Operational Decision-Making Tools: Acceptance Sampling

True/False

1. Acceptance sampling is not consistent with TQM’s philosophy of zero defects.
2. A sampling plan provides a set of guidelines for rejecting a lot.
3. With acceptance sampling, a lot is either rejected or accepted depending on the number of defects found in a sample.
4. The simplest form of a sampling plan is a double-sample attribute plan.
5. Acceptance sampling involves the inspection of a non-random sample of n units selected from a larger lot.
6. Acceptance sampling is based on the premise that a lot contains some acceptable number of defective items.
7. With a single-sample attribute plan a single sample of size n is selected randomly from a larger lot and each of the n items is inspected.
8. A lot is rejected if the number of defective units found in a random sample exceeds a predetermined acceptable number of defective units.

9. The consumer’s risk is the probability of rejecting a lot that meets the acceptable quality level (AQL).

1. The consumer’s risk is the probability of accepting a lot in which the fraction of defective items exceeds the lot tolerance percent defective (LTPD).
2. An operating characteristics (OC) curve is a graph that measures the probability of accepting a lot with no defective items.
3. The average outgoing quality (AOQ) is a measure of the expected number of defective items that will pass on to the customer with the sampling plan selected.
4. Double-sampling plans are often less costly than single-sampling plans.
5. A multiple-sampling plan uses the smallest sample size of any sampling plan.
6. Choosing among a single-, double- and multiple-sampling plans is a strategic versus an economic decision.

MULTIPLE-CHOICE

16. The _________________ is the probability of rejecting a lot that has an acceptable quality level.

1. producer’s risk.
2. consumer’s risk.
3. lot tolerance percent defective.
4. acceptable quality level.
5. The _________________ is the probability of accepting a lot that has a higher percentage of defective items than the lot tolerance percent defective.
   1. producer’s risk
   2. sampling plan
   3. consumer’s risk
   4. average outgoing quality

18. Six Sigma companies report defective parts

1. per million.
2. per thousand.
3. per hundred.
4. do not exist.

19. All the following reasons are reasons acceptance sampling is still used today except

a. government regulations.

b. contractual requirements.

c. industry standards.

d. total quality management principles.

20. The ________________ is the consumer’s willingness to accept lots with a small proportion of defective items

1. sampling plan
2. quality level
3. consumer’s risk
4. producer’s risk

21. The _________________ represents the upper limit to the number of defective items a customer will accept in a lot.

1. producer’s risk
2. consumer’s risk
3. average outgoing quality
4. lot tolerance percent defective (LTPD)

22. A(n) ________________ curve is a graph showing the probability of accepting a lot for different quality levels with a specific sampling plan.

1. operating characteristic (OC)
2. average outgoing quality
3. lot tolerance percent defective
4. single-sample attribute

23. The ______________________ is the expected number of defective items that will pass on to the customer with a sampling.

1. lot tolerance percent defective
2. acceptable quality level
3. average outgoing quality
4. sampling plan
5. A multiple sampling plan is also referred to as a
   1. double sampling plan.
   2. triple sampling plan.
   3. sequential sampling plan.
   4. None of the answer choices is correct.

ESSAYS

25. Is acceptance sampling consistent with TQM?

1. What is the advantage of a multiple-sampling plan?

27. If α = 0.05 and β = 0.10, then __________.

a) AQL is 5 and LTPD is 10%

b) the customer expects to accept lots that exceed the LTPD about 5% of the time and the company expects to reject that are as good or better than the AQL about 10% of the time

c) the customer expects to accept lots that exceed the LTPD about 10% of the time and the company expects to reject that are as good or better than the AQL about 5% of the time

d) the customer expects to accept lots that exceed the AQL about 5% of the time and the company expects to reject that are as good or better than the LTPD about 10% of the time

28. A multiple-sampling plan __________.

a) is also known as a sequential-sampling plan

b) generally uses medium or small-sized samples compared with other sampling plans

c) uses samples as small as 2 units

d) All of the above choices are correct.

29. The operating characteristic (OC) curve __________.

a) measures the probability of accepting a lot for different quality levels given a specific sample size and acceptance level

b) indicates to management how effective the sampling plan is in discriminating between good and bad lots

c) typically has the shape of the right half of a hill

d) All of the above choices are correct.

30. In a single-sample attribute plan, which of the following choices is true about the lot size (N), the sample size (n), the acceptable number of defective items in a sample (c), and the actual number of defective items in a sample (d)?

a) d ≤ c ≤ n ≤ N

b) d ≤ c < n < N

c) c ≤ n ≤ N; d ≤ n

d) c < n < N; d ≤ n