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Steel IncSpecializes in Manufacturing Ship Doors ±\pm 0005 InchIt Costs $800 to Scrap a Part That Is Outside

Question 112

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Steel Inc.specializes in manufacturing ship doors.The blueprint specification for the thickness of a high-demand model calls for 0.9 ±\pm 0.005 inch.It costs $800 to scrap a part that is outside of the specification.The thickness measure for the unit just completed is 0.85.
Required:
(1)Calculate the value of k,the cost coefficient in the Taguchi loss function.
(2)Calculate the estimated amount of loss for the unit,L(x)= 0.85.

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