A lot is known to be 1.2% defective. Five units are randomly selected from the lot, and the lot is accepted if
1 or fewer defects are found. What is the probability of the lot being rejected?

• A.0.00223
• B.0.00173
• C.0.9985
• D.0.01

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What is the key ranking difference between the Deming philosophy and the Malcolm Baldrige award criteria?

• A.The MBNQA has seven categories compared to Deming's 14 points.
• B.The MBNQA ranks "business results" and "customer focus", but Deming does not consider theseitems.
• C.Deming prescribes "all or nothing" propositions but MBNQA ranks categories with different weights.
• D.There is no recognized rating system for the MBNQA.

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The first and most important step, in establishing a good corporate quality plan is

• A.Determining manufacturing process capabilities.
• B.Determining customer requirements.
• C.Evaluation vendor quality systems.
• D.Ensuring quality participation in design review.

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An improvement in quality costs is MOST clearly indicated when:

• A.Total quality costs fall below 15% of total sales.
• B.Management objectives are met.
• C.Prevention costs increase.
• D.Appraisal and failure costs drop.

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The failure rate model above is used to show a typical relationship of many parts between their failure rate and the time in service. The reliability function for period "B" is BEST represented by

• A.Option B
• B.Option C
• C.Option A
• D.Option D

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