Determine total cost of quality when there are no defectives

Assignment Help Business Economics
Reference no: EM1372649

Q. costs of quality are given by following equations:

Ca = 100D + 1500
Cp = -50D + 6300
Cf = De0.5D
where:
Ca is cost of appraisal,
Cp is cost of prevention, and
Cf is cost of failure.
Note that D is percent defectives and 0 <= D<= 100.

1. Determine total cost of quality when there are no defectives. D = 0 and product quality is perfect.

2. Given information in Problem 1, determine total cost of quality when D = 90. No company could stay in business with D = 90, as will be apparent from calculations.

3. Given information in Problem 1, determine total cost of quality when D = 0, 10, and 15. Plot all of points.

4. Using information in Problem 1, comment on shape and position of se cost of quality curves.

5. Using information in Problem 1, is re a minimum total cost? What is it?

 

 

Reference no: EM1372649

Questions Cloud

What are some of expectations of suppliers : What are problems associated with implementing JIT purchasing. What are some of expectations of suppliers.
Contemporary feminism : How has contemporary feminism altered the debate on human rights? How active should the US be in ensuring that all nations respect the human rights of their citizens?
Nash equilibria to determine the best strategy : Little Kona is a small coffee corporation that is planning entering a market dominated through Big Brew. Each corporation's profit depends on whether Little Kona enters and whether Big Brew sets a high price or a low price.
Legal issue of gender discrimination : Prepare a written legal issue analysis of a newspaper or magazine article that discusses a legal aspect of a specific diversity issue, such as harassment, ADA, and so forth.
Determine total cost of quality when there are no defectives : Determine total cost of quality when there are no defectives. D = 0 and product quality is perfect. Determine total cost of quality when D = 90. No company could stay in business with D = 90, as will be apparent from calculations.
Prepare journal entries : Prepare journal entries for the above transactions and prepare an adjusted trial balance using the format below, adding additional accounts as required.
Explain how fast it move after the bullet emerges : If you weigh 680 on the earth, what would you weigh when at surface of a neutron star that has the same mass as our sun and a diameter of 20km.
Principles for humane treatment of human subjects : What are the basic principles for humane treatment of human subjects in research? Is informed consent necessary in behavioral research? Why?
Give preliminary information on data requirements for gis : You have been requested to give preliminary information on the data requirements for a GIS which is to be used to hold inventory of continental scale vegetation maps for coarse scale land surface

Reviews

Write a Review

Business Economics Questions & Answers

  Illustrate what type of economic flow would be illustrated

Illustrate what type of economic flow would be illustrated by the purchase of a Mexican candy-making factory by a U.S. corporation.

  Utilizing a mode also thinking about economic activity

Why are assumptions made when utilizing a mode also thinking about economic activity. Textiles also apparel accounts for Illustrate what fraction of industrial employment in Pakistan.

  Necessary price if the firm is to break even

if Night Timers plans to sell 125,000 rolls per year, Illustrate what is the necessary price if the firm is to break even

  Four major competitors in the computer work-station

Find the value of the test statistic (to 3 dec pl). Can we conclude that the proportions have changed during the year.

  Elucidate how formal organizations in past century

Elucidate how formal organizations have evolved over the past century. What differences were there in organizations a century ago, compared to today's organizations.

  Why are conclusions drawn about voter sociology

Assume which an innovation reduces a industry's fixed costs also reduces cost from ATC to ATC. Before the innovation reduced the cost, the industry's maximum economic profit was

  Country allows free trade

The difference between the cost to produce the CDs and the price you paid for them spending $30 on two new CDs spending $30 on dinner and a movie with your friends.

  Illustrate what is the theoretical ordinary demand functions

Illustrate what is the theoretical differences between ordinary demand functions and compensated demand functions.

  What the market price is given the price leaders output

Compute the profit-maximizing output for the price leader. Illustrate what the market price is given the price leader's output in (c). Elucidate how much does each competitive firm produce.

  Internet access also a black market for internet providers

Suppose the US government places a ceiling on the price of internet access also a black market for Internet providers arises, with internet providers developing hidden connections.

  Two nations is that the production possibilities curves

A basic assumption for comparing the straight-line production possibilities curves for two nations is that the production possibilities curves reflect.

  What is basic method for adjusting for inflation

Why is it important to adjust for inflation when comparing nominal quantities at different points in time. What is basic method for adjusting for inflation.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd