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Quiz1_W04

Quiz1_W04 - 50 100 200 probability of demand 0.4 0.3 0.3...

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Department of Chemical Engineering University of California, Santa Barbara Ch.E. 132C Winter, 2004 Quiz 1 1. (35 points) A company receives a shipment of 1000 items. The company’s quality inspection strategy is as follows. Two items are selected at random and inspected. If no defectives are found, the shipment is accepted. If two defectives are found, the shipment is rejected and returned. If one defective is found, a new sample of one item is selected and inspected. If it is defective, the shipment is rejected; otherwise, it is accepted. What is the probability of accepting a shipment if 4% of the items are actually defective? 2. (30 points) A small bakery produces rolls that sell at \$0.50 each. The expected demand is summarized as: demand for rolls:

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