Question

The AMI Company has two assembly lines in its Kansas City plant. Line A produces an average of 335 units per day with a standard deviation equal to 11 units. Line B produces an average of 145 units per day with a standard deviation equal to 8 units. Based on this information, which line is relatively more
consistent?

A) Line A
B) Line B
C) both line A and B are equally relatively consistent
D) too little information to decide
Please give the detailed calculation process

Answer 1

Answers to Practical Problems – Module 1 A1. The AMI Company has two assembly lines in its Kansas City plant. Line A produces an average of 325 units per day with a standard deviation equal to 10 units. Line B produces an average of 140 units per day with a standard deviation equal to 6 units. Based on this information, which line is relatively more consistent in production? Use the coefficient of variation concept to compare groups (see module 1.3): CV (A) = 10/325*100 = 3.08% CV (B) = 6/140*100 = 4.29% Line A is more consistent (only slightly more) A2. Suppose annual salaries for sales associates from a particular store have a bell-shaped distribution with a mean of $32,500 and a standard deviation of $2,500. The z-score for a sales associate from this store who earns $37,500 is a. 37.5 b. 2 c. -2 d. 0.92 Z= (37,500-32,500)/(2500) = 2….answer is b

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