The upper and lower control limits for a component are 0.150 cm. and 0.120 cm., with a process target of .135 cm. The process standard deviation is 0.004 cm. and the process average is 0.138 cm. What is the process capability index

Brandt enterprises is considering a new project that has a cost of $1,000,000, and the cfo set up the following simple decision tree to show its three most likely scenarios. the firm could arrange with its work force and suppliers to cease operations at the end of year 1 should it choose to do so, but to obtain this abandonment option, it would have to make a payment to those parties. how much is the option to abandon worth to the firm?