Reference no: EM131754399

Question: A large retail store buys an item from a supplier in batches of 100. Because of the delicate nature of the item some are inevitably damaged in transit between the supplier and the store and the price the store pays to the supplier reflects this. Over the last few years an average of four items are damaged in each batch of 100. Recently the supplier has used another transport company to deliver supplies. The store has recently checked a total of 25 items and found that three were damaged in transit. As manager of the store, how might you use this information?