To reduce costs, a project team has decided to purchase a ne…

To reduce costs, a project team has decided to purchase a new weaving loom. The team must decide between two looms: the Josef and the Jurgens. Both looms have comparable quality levels and the same capacity, but different costs. The team needs to analyze the costs for both looms over a seven-year study period, with an MARR (an interest rate) of 12% per year. Loom 1: The Josef will cost $41,000 now, have operating costs of $6,000 per year, and have a salvage value of $3,000. Loom 2: The Jurgens will cost $83,000 now, have annual operating costs of $1,000, and have a salvage value of $7,000. What is the net present worth of the cash flows for Loom 1?    [loom1] What is the net present worth of the cash flows for Loom 2?    [loom2] Which loom should the team select?    [select]

Two gear hobbing machines are used to produce a part for aut…

Two gear hobbing machines are used to produce a part for automotive transmissions. Scrap costs for one critical dimension are excessive. To determine whether there is a difference in variability between the two machines, a Six Sigma project team ran a small experiment. The Minitab output for the statistical analysis is shown below. Using a significance level of α = 0.05, the team concludes that:

Two gear hobbing machines, are used to produce a part for au…

Two gear hobbing machines, are used to produce a part for automotive transmissions. Scrap costs for one critical dimension are excessive. To determine whether there is a difference in mean performance for the two machines, a Six Sigma project team ran a small experiment. The Minitab output for the statistical analysis is shown below. Using a significance level of α = 0.05, the team concludes that:

A bakery is analyzing whether cookie height varies with the…

A bakery is analyzing whether cookie height varies with the machine that forms the dough round. There are two forming machines. An experiment was run, with twenty (20) cookies from both forming machine. Which statistical test should be used to determine whether the variability in cookie height from Machine 1 is the same as the variability in cookie height from Machine 2?