Reference no: EM132308419

Computer makers who buy monitors require that the monitor manufacturer practice statistical process control (SPC) and submit control charts for verification. This allows the computer makers to eliminate inspection of monitors as they arrive, a considerable cost saving.

Choose all the answers that correctly explain why an incoming inspection can be safely eliminated by computer makers.

The computer makers save money because they can buy the inspected monitors with the assurance that the computers in which they are installed will not be returned by their customers.

Assuming that uniform quality is sufficiently high, the purchaser does not need to inspect the monitors as closely as if they had not been previously inspected.

Prior inspection of the monitors saves the computer makers money because they are confident that the SPC of the monitor manufacturer ensures that all of the monitors are of acceptable quality.

SPC provides some assurance that the monitors are roughly uniform in quality.

Assuming that uniform quality is sufficiently high, the purchaser does not need to inspect the monitors as they arrive because SPC has already achieved the goal of that inspection.

The computer makers save money because they can buy the inspected monitors at a much lower cost.

SPC provides some assurance that the monitors are absolutely uniform in quality.

Prior inspection of the monitors saves the computer makers money because they are confident that the SPC of the monitor manufacturer ensures that most of the monitors are of acceptable quality.