We can examine the effect of the sampling plan on both types of risks by varying the assumed
A) percentage of defective items in the lot.
B) number of defective items in the sample.
C) probability of accepting the lot.
D) number of units in the lot.

Question

We can examine the effect of the sampling plan on both types of risks by varying the assumed​
A) ​percentage of defective items in the lot.
B) ​number of defective items in the sample.
C) ​probability of accepting the lot.
D) ​number of units in the lot.

Quizplus · Accepted Answer

The percentage of defective items in the lot directly affects both types of risks in sampling plan. As the percentage of defective items in the lot increases, the risk of accepting a bad lot (producer's risk) decreases and the risk of rejecting a good lot (consumer's risk) increases. Conversely, as the percentage of defective items in the lot decreases, the risk of accepting a bad lot increases and the risk of rejecting a good lot decreases. Therefore, varying the assumed percentage of defective items in the lot is the best choice to examine the effect of the sampling plan on both types of risks.

We Can Examine the Effect of the Sampling Plan on Both