7.

      Using samples of 200 credit card statements, an auditor found the following:
Sample 1 2
Number with errors 4 2

fraction
defective
1 4 0.02
2 2 0.01
3 5 0.025
4 9 0.045

total number of defectives 20 =SUM(C9:C12)

total number of observation 800 =4*200
p 0.025 =C15/C16
estimated mean of fraction defective 2.50%

σp 0.01104 =SQRT((C17*(1-C17))/200)
standard deveation of fraction defect 1.10%
considering 3 sigma control limits
UCL 0.058119 =C17+(3*C20)
LCL -0.008119 =C17-(3*C20)

true fraction defective estimate 0.025

control risk for alpha risk of 0.03
Z area 0.97 0.485
Z score 2.17

UCL 0.048956 =C17+C29*C20

LCL 0.001044 =C17-C29*C20

question b
 3 4
5 9

17*(1-C17))/200)