For a given process control chart, there are four rules for determining out-of-control state of the process which are being used simultaneously. The probability of Type-I error for the four rules are 0.005, 0.02, 0.03, and 0.05. Assuming independence of the rules, the probability of overall Type-I error when all the four rules are used simultaneously is
A. 0.101
B. 0.201
C. 0.001
D. 0301
Answer:A
For a given process control chart, there are four rules for determining out-of-control state of the process which are being used simultaneously. The probability of Type-I error for the four rules are 0.005, 0.02, 0.03, and 0.05. Assuming independence of the rules, the probability of overall Type-I error when all the four rules are used simultaneously is
A. 0.101 B. 0.201 C. 0.001 D. 0301