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Unformatted text preview: test all units? Yes, for it is cheaper to inspect. ( a) What is the cost to inspect each unit? $8 / 20 = $.40 Calculation Cost per hour No inspection .02(20)$25 $10 Inspection 8 (b) What is the benefit (or loss) from the inspection process? Benefit Average cost of quality – cost of inspection = (.02)$25 - $.40 = $.10...
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This note was uploaded on 08/24/2011 for the course MGMT 375 taught by Professor Martinbrennan during the Summer '10 term at Park.
- Summer '10