Question 12.54

12.54 Purchased material.

At the present time, about five out of every 1000 lots of material arriving at a plant site from outside vendors are rejected because they are incorrect. The plant receives about 300 lots per week. As part of an effort to reduce errors in the system of placing and filling orders, you will monitor the proportion of rejected lots each week. What type of control chart will you use? What are the initial center line and control limits?