Question

In: Operations Management

Consider again the company making tires for bikes is concerned about the exact width of their...

Consider again the company making tires for bikes is concerned about the exact width of their cyclocross tires. The company has a lower specification limit of 23 mm and an upper specification limit of 23.2 mm. The standard deviation is 0.12 mm and the mean is 23.1 mm.

	(Round your answer to 4 decimal places.)
a.	What is the probability that a tire will be too narrow?

	(Round your answer to 4 decimal places.)
b.	What is the probability that a tire will be too wide?

	(Round your answer to 3 decimal places.)
c.	What is the probability that a tire will be defective?

Expert Solution

The following question can be solved in Excel using the norm.dist function.

1) Cumulative probabilities

2) Formulas used

Frome the above images, we can see that the cumulative probability of tire being up to 23 mm is 0.2023 and the cumulative probability of tire being up to 23.2 mm is 0.7977

Ans a)

The probability that a tire will be too narrow is the probability of the tire being less than 23mm. Hence, in this case, the probability of the tire being less than 23mm will be equal to the cumulative probability of tire being up to 23 mm,i.e. 0.2023

Ans b)

The probability that a tire will be too wide is the probability of the tire being more than 23.2 mm. Hence, in this case, the probability of the tire being more than 23.2 mm will be

= (1 - cumulative probability of tire being up to 23.2 mm)

= (1 - 0.7977)

= 0.2023

Ans c)

The probability that the tire will be defective is the sum total of the probability that a tire will be too narrow and the probability that a tire will be too wide.

= 0.2023 + 0.2023

= 0.4046

keosha answered 6 months ago

Consider again the company making tires for bikes is concerned about the exact width of their cyclocross tires.

Consider again the company making tires for bikes is concerned about the exact width of their cyclocross tires. The company has a lower specification limit of 22.6 mm and an upper specification limit of 22.8 mm. The standard deviation is 0.16 mm and the mean is 22.7 mm.a. What is the probability that a tire will be too narrow? b. What is the probability that a tire will be too wide? c. What is the probability that a tire will be defective?

Consider again that the company making tires for bikes is concerned about the exact width of its cyclocross tires

Consider again that the company making tires for bikes is concerned about the exact width of its cyclocross tires. The company has a lower specification limit of 22.8 mm and an upper specification limit of 23.2 mm. The standard deviation is 0.15 mm and the mean is 23 mm. The company now wants to reduce its defect probability as 0.01. To what level would it have to reduce the standard deviation in the process to meet this target?

A company making tires for bikes is concerned about the exact width of its cyclocross tires....

A company making tires for bikes is concerned about the exact width of its cyclocross tires. The company has a lower specification limit of 22.8 mm and an upper specifica- tion limit of 23.2 mm. The standard deviation is 0.15 mm and the mean is 23 mm. What is the process capability index for the process?

PA 9-4 Consider again the company making tires for... Consider again the company making tires for...

PA 9-4 Consider again the company making tires for... Consider again the company making tires for bikes is concerned about the exact width of their cyclocross tires. The company has a lower specification limit of 22.8 mm and an upper specification limit of 23.4 mm. The standard deviation is 0.19 mm and the mean is 23.1 mm. (Round your answer to 4 decimal places.) a.What is the probability that a tire will be too narrow? (Round your answer to 4...

I was wondering if I should be concerned about the stock market crashing again in the...

I was wondering if I should be concerned about the stock market crashing again in the next three years. Do you think we're at a stable point in U.S. history, or will we struggle again?

You operate an auto store that sells tires. You are concerned about warranty returns on the...

You operate an auto store that sells tires. You are concerned about warranty returns on the tires. Company records show that the probability warranty repair for a tire in the first 90 day is .05. You are tracking the sales of three tires. What is the mean for this binomial distribution? a. .15 b. .19 c .25 d. .35 ABC Trucking Company realized that on an annual basis the distance traveled is normally distributed with a mean of 50,000 miles...

A company manufacturing bicycles has a current annual demand of 1,500 bikes. In buying bike tires,...

A company manufacturing bicycles has a current annual demand of 1,500 bikes. In buying bike tires, they pay $14 per tire with an estimated carrying cost of 20% of the tire’s cost. Each order cost $25 to process. Orders are placed on the first of each month for an equal amount every month. Determine the current ordering cost, carrying cost and total inventory cost each year using the current order quantity. Calculate the EOQ. Determine the current ordering cost, carrying...

As controller of a widely held public company, you are concerned with making the best decisions...

As controller of a widely held public company, you are concerned with making the best decisions for the stockholders. At the end of its first year of operations, you are faced with the choice of method to value inventory. Specific identification is out of the question because the company sells a large quantity of diversified products. You are trying to decide between FIFO and LIFO. Inventory costs have increased 33% over the year, and therefore, you think LIFO will most...

A bond investor concerned about inflation is most likely to consider which of the following investments?...

A bond investor concerned about inflation is most likely to consider which of the following investments? Multiple Choice U.S. Treasury bond Corporate bond TIPS bond Mortgage bond

Consider the following information about production in quarter 1 of 2019. Firm T produces 600 tires...

Consider the following information about production in quarter 1 of 2019. Firm T produces 600 tires at a cost of $27 each, and sells 580 tires to Firm B at a cost of $40 each. Firm B produces 290 bicycles at a total cost of $350 each, and sells 280 bicycles to consumers for $404 each. Enter whole numbers only with no commas and no dollar sign. In this simple economy, what is the value of inventory investment?