In a printing company, data from the previous month show the following types of errors, with the unit cost (in dollars) of rectifying each error. Construct a Pareto Chart and discuss the results. If management has a monthly allocation of 18,000, which areas should they tackle?
Error categories Frequency Unit Costs
Inadequate Binding 120 100
Paper tension 80 50
Paper Misalignment 100 30
Proofreading 3500 0.5
Typographical 4000 0.2