Question: Manufacturing and Product Development Suppose a company is receiving a large shipment of peel-and-stick vinyl floor tiles. The manufacturer claims the proportion of defective floor tiles is 0.05. The company will select a random sample of 200 floor tiles, carefully inspect each, and determine whether it is defective. The acceptance sampling plan states: Accept the entire shipment if the sample proportion of defective tiles is 0.08 or less; otherwise, reject the entire shipment.
a. Find the probability of accepting the entire shipment if the true proportion of defective floor tiles is 0.01, 0.02, 0.03, 0.04, 0.05, 0.06, 0.07, 0.08, 0.09, 0.10, 0.15.
b. Plot the probability of accepting the entire shipment (on the y axis) versus the true proportion of defective floor tiles (on the x axis). The resulting graph is the OC curve for the given acceptance sampling plan.