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san4es73 [151]
2 years ago
7

A machine was not properly set-up/calibrated which caused a wide variation of quality of the products it produced. This type of

variation is an example of _________________.
Business
1 answer:
vovangra [49]2 years ago
6 0

Answer:

Hi you haven't provided the options to the question so I will just give the answer in my own words and you can check with the options.

Answer is ASSIGNABLE VARIATION.

Explanation:

Variation is a lack of consistency. It can introduce waste and errors into a process, for example, a manufacturing process.

There are two sources of variation which are:

1. Natural variations: are random variations that are expected and are a part of almost every production process which results from a number of chance causes.

2. Assignable variations: are trend factors that can be traced to a specific reason, such as machine tear, fatigued workers or untrained workers, flawed principles, equipment that is not properly adjusted or calibrated, or raw material problems.

According to the question, a machine was not properly set-up/calibrated which caused a wide variation of quality of the products it produced. Since the cause (improper setup/calibration) can be traced to a specific reason, therefore, the type of variation is an example of ASSIGNABLE VARIATIONS.

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Answer:

B. The portfolio expected rate of return must be the same for each economic state.

Explanation:

Variance formula = sum of (probability x (r - mean)^2)

r= expected return

if the expected return would be same for each economic state then the mean would equal to expected return which ultimately will give variance zero ( as r-mean would be 0).

Hence the correct option is B. The portfolio expected rate of return must be the same for each economic state.

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2 years ago
7. Another example of opportunity cost is a company's cost of capital. Suppose a manufacturer wants to add
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Answer:

You should invest in US bonds because you will be able to earn a higher return than if you build and sell microwaves.

Explanation:

alternative 1, build and sell microwave ovens:

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alternative 2, invest in US securities:

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Instead, if you invest in bonds and not microwaves, your net income will increase by $50,000 - $25,000 = $25,000.

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