Question: Consider a production process where one item (the subgroup size is 1) is periodically sampled and the number of nonconformities is observed. Suppose standard nonconformity rate per item is λ = 4.
(a) Find the all OK ARL.
(b) Find the ARL if an increase to a rate of λ = 8 occurs.
(c) Answer (a) and (b) if two items make up each subgroup.