Measures-frequency and cost

Reference no: EM131800662

Selwitchka (1980) presents data on 10 types of errors using two measures-frequency and cost:

Type of error	Frequency	Cost ($, DM)
A	960	20,000
B	870	28,460
C	420	375,000
D	210	42,000
E	180	124,300
F	180	9,000
G	60	77,800
H	60	12,125
I	30	9,000
J	30	9,125

Note that the first two columns present a Pareto analysis based on frequency of occurrence. Prepare a second Pareto table based on cost. Comment on the ranking of errors using frequency versus ranking based on cost.

Reference no: EM131800662

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