The Long Life Insurance Company receives applications to buyinsurance from its salespeople, who are specially trained inselling insurance to new customers. After the applications arereceived, they are processed through a computer. The computer isprogrammed so that it prints messages whenever it runs through anitem that is not consistent with company policies. The company isconcerned with the accuracy of the training that its salespeoplereceive, and it contemplates recalling them for more training ifthe quality of their performance is below certain limits. Fivesamples of 50 applications received from specific marketareas were collected and inspected with the following results:
Sample
Applications with Errors
1
3
2
2
3
1
4
2
5
2
Determine the lower control limit for a p-chart.
The Long Life Insurance Company receives applications to buy insurance from its salespeople, who are specially trained i
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