ADMS 3300 Study Guide - Utility
15 Jun 2013
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Problems t - m m e n t : a company has just received some "state of the art" electronic equipment from an overseas supplier. The packaging has been damaged during delivery and the company must decide wh@er. If the equipment itself has not been damaged, it could be sold for a profit of ,000. However, if the batch is accepted and it turns out to be damaged a loss of -,000 will be made. Rejection of the equipment will lead to no change in the company"s profit. After a cursory inspection, the company"s engineer esbm 3s- that there is a 60% e company has anoher chance that the equipment h a g t been damaged opt&. The equipment could be tested by a local specialist company. Their test, however, is not perfectly reliable and has only an 80% chance of giving a correct indication.
