Question: The Commonwealth Banking Corporation issues a national credit card through its various bank branches in five southeastern states. The bank credit card business is highly competitive and interest rates do not vary substantially, so the company decides to attempt to increase its customer retention rate by improving customer service through a reduction in billing errors. The credit card division monitored its billing department process by taking daily samples of 500 customer bills for 25 days and checking their accuracy. The sample results are as follows:

Sample Number of Defectives

1 7

2 12

3 9

4 6

5 5

6 8

7 10

8 11

9 14

10 10

11 9

12 6

13 3

14 2

15 8

16 10

17 12

18 14

19 16

20 15

21 13

22 9

23 10

24 12

25 15

Develop a control chart for the billing process using \[3\sigma \] control limits and indicate if the process is in control. What happens if you use \[2\sigma \] control limits? In general, how do you decrease both \[\alpha \] and \[\beta \] simultaneously?

Price: $2.99

Solution: The downloadable solution consists of 3 pages
Deliverable: Word Document