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The Wayne Manufacturing Company purchases a certain standard part from three different suppliers: A, B, and C. Supplier A supplies 60% of the demand for these parts, B supplies 30%, and C supplies 10%. The quality of parts varies among the suppliers, with suppliers A, B, and C having reject rates of 0.25%, 1%, and 2%, respectively.

What is the probability that a randomly selected part is defective?

If a defective part is found, which supplier is the most likely source?

Operation Management, Management Studies

  • Category:- Operation Management
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