Question

The outside diameter of a part used in a gear assembly is known to be normally...

  1. The outside diameter of a part used in a gear assembly is known to be normally distributed with a mean 40mm and standard deviation of 2.5mm. The specifications on the diameter are:

Upper Limit = 45mm and Lower Limit = 36mm which means that the part diameters between these limits are considered acceptable.

  1. Find the percentage of production outside upper limits (Rework)
  2. Find the percentage of production outside upper limits (Scrap)
  3. What percentage is acceptable?
  4. If unit cost of rework is $0.20 and unit cost of scrap is $0.50 find the total daily cost with daily production of 2000

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