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‘▶️ Show Excel Solution’; } }); }); }); ## Question 1
What is the sum of 25 + 75?
A soft drink bottling plant must comply with FDA regulations requiring bottles to be filled between 490 ml and 515 ml. The current process has:
Mean fill volume (μ) = 500 ml Standard deviation (σ) = 5 ml Daily production = 50,000 bottles Operating days/year = 250 Cost of wasted materials = $0.50/bottle Managerial Questions:
What percentage of bottles comply with FDA specifications? How many bottles fail daily and annually? What is the annual waste cost? To achieve less than 1% waste, management considers two options: Option A: Recalibrate machines to shift the mean (one-time cost: $20,000)
Option B: Install precision sensors to reduce variability (one-time cost: $50,000)
Which option should the plant choose?