Tale 7E.1 contains data on examination of medical insurance claims. Every day 50 claims were examined.

(a) Set up the fraction nonconforming control chart for this process. Plot the preliminary data in Table 7E.1 on the chart. Is the process in statistical control?
(b) Assume that assignable causes can be found for any out-of-control points on this chart. What center line and control limits should be used for process monitoring in the next period?

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TABLE 7E.1 Medical Insurance Claim Data for Exercise 7.3 Number Number Day Nonconforming Day Nonconforming 0 12 13 14 15 16 17 18 19 20 20 8 10