A Florida lottery machine and printer at Store #8302 operates 360 days a year. If the machine

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A Florida lottery machine and printer at Store #8302 operates 360 days a year. If the machine jams or breaks down, the Florida Lottery Commission loses an average of $2,000 in revenue per day. Preventive maintenance can be performed each morning and costs $670 per day, and the machine will not break down. Without preventive maintenance, the probability of a breakdown is as follows.  What are the economics of the situation? What do you recommend?

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Operations And Supply Chain Management

ISBN: 9780357131695

2nd Edition

Authors: David A. Collier, James R. Evans

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