A medical supplies company buys its supplies in bulk and


A medical supplies company buys its supplies in bulk and redistributes them to doctor’s offices and clinics. The receive thermometers in lots of 15,000 from the vendor. They are considering a sampling plan of n = 100 and c = 2.

A. Develop an OC curve for this sampling plan. (Use Poisson Tables with Pd = 0 to 10% in increments of 1%)

B. Determine the producer’s risk if the AQL is 1%.

C. Determine the consumer’s risk if the LTPD is 7%.

D. Calculate the Average Outgoing Quality and plot it. What is the value of the Average Outgoing Quality Limit?

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Operation Management: A medical supplies company buys its supplies in bulk and
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