Using samples of 194 credit card statements, an auditor foundthe following:
Use Table-A.

Sample	1	2	3	4
Number with errors	3	1	6	12

a. Determine the fraction defective in each sample.(Round your answers to 4 decimal places.)
  

Sample	Fraction defective
1
2
3
4

b.If the true fraction defective for this process isunknown, what is your estimate of it? (Round your answer to1 decimal place. Omit the \"%\" sign in your response.)

Estimate             %

c. What is your estimate of the mean and standarddeviation of the sampling distribution of fractions defective forsamples of this size? (Round your intermediate calculationsand final answers to 4 decimal places.)
  

Mean
Standard deviation

d.What control limits would give an alpha risk of .03 forthis process? (Round your intermediate calculations to 4decimal places.Round your \"z\" value to 2 decimalplaces and other answers to 4 decimal places.)
  

z =  ,    to  

e.What alpha risk would control limits of .0470and .0098 provide? (Round your intermediate calculations to4 decimal places.Round your \"z\" value to 2 decimalplaces and \"alpha risk\" value to 4 decimal places.)
  

z =  , alpha risk =  

f.Using control limits of .0470 and .0098, isthe process in control?

• no

• yes

g.Suppose that the long-term fraction defective ofthe process is known to be 2 percent. What are the values of themean and standard deviation of the sampling distribution?(Round your intermediate calculations and final answers to2 decimal places.)

Mean
Standard deviation

h.Construct a control chart for the process, assuming afraction defective of 2 percent, using two-sigma control limits. Isthe process in control?

• Yes

• No