The specifications of an electronic device are 24 /- 0.4 Amps. When the device exceeds specifications the average quality cost is $32.00. A sample of the devices had an average value of 23.9 Amps and a standard deviation of 0.211 Amps. What is the average loss for this device

The average loss for this device is $10.90

Explanation:

Given data

Specification = 24 +/- 0.4 Amps

average quality cost = $32.00

average value y = 23.9

standard deviation s = 0.211 Amps

32 = k(24.4 - 24)²

32 = k(0.4)² = k(0.16)

k = 32/0.16 = 200

To evaluate average loss, use

L = k{s² + (y - T)²}

T = 24A

L = 200{0.211² + (23.9 - 24)²}

L = $10.90

The average loss for this device is $10.90