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INSPECTION RESULTS.
Population: 600
Number of Services Sampled (Sample Size): 50
DEFECTS VALIDATED TOTAL
DEFECTS DEFECTS
WORK
IN
CUSTOMER
OBSERVED REWORKED REWORKED
SAMPLE
COMPLAINTS DEFECTS BY CONTR  BY GOVT.
REQUIREMENT
A.
Response time
3
2
5
N/A
N/A
B.
Classification
2
2
4
0
4
C.
Cost accounting
1
3
4
4
0
D.
Quality work
1
2
3
0
3
Actual cost of rework by Government (Quality Work) = $60.00
(c) Random Sampling for Extrapolation Deductions (RSED). The following
data, obtained from the performance requirements summary (PRS) and the
schedule of deductions or the performance requirements summary (PRS) and the
schedule of indefinite quantitywork, is used to illustrate a typical
payment calculation when surveillance is by RSED.
when RSED is used, the defect rate is calculated based on the defect rate
observed in the sample.  An adjustment factor is applied to the observed
defect rats and the adjusted rate is used for extrapolation.  Liquidated
damages assessed for all observed defects including those outside the
sample.  Liquidated damages are not extrapolated. Figure 6-4 lists the
steps in the calculation.
CONTRACT REQUIREMENT: 002. Routine Service Calls
Price from Schedule of Deductions: $12,000/month.
% OF CONTRACT
PRICE OF WORK
WORK
REQUIREMENT
REQUIREMENT
MADR
REQUIREMENT
A.
Response time
30%
3%
$3,600 (30% of $12,000)
B.
Classification
5%
3%
$ 600 (5% of $12,000)
C.
Cost accounting
5%
3%
$ 600 (5% of $12,000)
D.
Quality work
60%
3%
$7,200 (60% of $12,000)
INSPECTION RESULTS.
Contract Requirement:  Routine Service Calls
Population: 600  Number of Services Sampled:
60
DEFECTS
DEFECTS VALIDATED TOTAL DEFECTS
WORK
IN
CUSTOMER
OBSERVED REWORKED
REWORKED
SAMPLE
COMPLAINTS DEFECTS  BY CONTR
REQUIREMENT
BY GOVT.
A.
Response time
6
2
8
N/A
N/A
B.
Classification
5
2
7
7
0
C.
Cost accounting
4
3
7
7
0
D.
Quality work
2
2
4
0
4
Actual cost of rework by Government (Quality Work) = $138.00
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