Suppose that specification for a production part diameter is 6.00 + 0.02 inches. That is, the part is to have a diameter of 6 inches with a tolerance of plus or minus 0.02 inch. If the Taguchi loss function measured in dollars is L(x) = 116,800 (x - T)2, then to the nearest penny, the economic loss associated with a part having diameter of 6.015 inches is (?) dollars?

Suppose that specification for a production part diameter is 6.00 + 0.02 inches. That is, the part is to have a diameter of 6 inches with a tolerance of plus or minus 0.02 inch. If the Taguchi loss function measured in dollars is L(x) = 116,800 (x - T)2, then to the nearest penny, the economic loss associated with a part having diameter of 6.015 inches is (?) dollars?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section9.5: Multistage Decision Problems

Problem 19P

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