Managing for Quality and Performance Excellence 10th Edition by James Evans ,William Lindsay

Exercise 8

Note: Data sets for several problems are available in the Excel workbook C07Data in the Student Companion Site for this chapter. Click on the appropriate worksheet tab as noted in the problem (e.g., Prob. 7-5, etc.) to access the data.
An automatic cookie machine at ACM, Inc. must deposit a specified amount of 25 ± 0.3 grams (g) of dough for each cookie on a conveyor belt. It costs $0.03 to scrap a defective cookie. A sample of 50 cookies was drawn from the production process, which has been determined to be approximately normally distributed, and the results, in grams, can be found in worksheet tab Prob. 7-12 in the Excel file C07Data.
a. What is the value of k in the Taguchi loss function?
b. Determine how much the process varies from the target specification, based on the mean difference and standard deviation of the sample results. What is the expected loss per unit?