Tolerance Limits and Bounds for Proportions Based on Data Subject to Measurement Error

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Abstract
Methods are presented for computing confidence bounds for the proportion of product in conformance with a given specification limit when the observed data are subject to measurement error. The related problem of determining tolerance limits for the true product distribution is also considered. If the ratio R of the error and product variances is known, exact tolerance limits and confidence bounds are easily computed. Two conservative procedures are proposed for settings where R is unknown.