Electron. J. Math. Phys. Sci., 2002, Sem. 1, 1-8

Bayesian Economic Cost Plans I. Comparison to Classical Plans

Fouad N. Jalbout ^1$, Abraham F. Jalbout ^2*, Hadi Y. Alkahby ¹

¹Department of Physics and Engineering, Dillard University, New Orleans, LA 70112 USA

²Department of Chemistry, University of New Orleans, New Orleans, LA 70148-2820 USA, E-mail: Ajalbout@ejmaps.org

*Author to whom correspondence should be addressed. ^$ Speaker at the 15^th Annual Conference on Applied Mathematics (CAM), University of Central Oklahoma, February 12-13, 1999

Received: 12 December 2001 / Accepted: 2 January 2002/Published: 15 January 2002

Abstract: The primary focus of this work is to specify the basic parameters in terms of prior distributions and finding the appropriate conditional posterior distributions to affect the transformation. The principle parameters include the upper and lower limit for the process’s quality characteristic X, its mean μ, and the standard deviation, the materials fraction defective p, the sample size n, and the lot size N. The Bayesian model’s posterior distributions are derived using known priors as functions of these parameters.

Keywords: Bayesian, cost model, comparison, lot size, fraction defective

AMS Mathematical Subject Classification: 46N30, 62-06,62P30

Document Summary:

History	Received: 12 December 2001 / Accepted: 2 January 2002/Published: 15 January 2002
Subject	Quality control, engineering
AMS Codes	CODE: 46N30 Miscellaneous applications of functional analysis: Applications in probability theory and statistics CODE: 62P30 Applications: Applications in engineering and industry YEAR: 2002
Keywords	Bayesian analysis, cost model, comparison, lot size, fraction defective
Doc type	Lecture series, seminar edition of EJMAPS
Edition	Electronic Journal of Mathematical and Physical Sciences Conference/Seminar Edition [ISSN: 1538-3318]