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Interpreting Coaxty output

I am trying to interpret some information from our inspection dept. What I have is the Quindos output for measurements on two bushing ID's. What it boils down to is an X and a Z offset, and a coaxty value that I cannot make any sense of. It is not just the hypotenuse of the X and Z offsets........is it a TIR value based on projection of the two axes to a common point?

Thanks
Scott
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