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a) The expected number of breakdowns per year with station employees performing maintenance =2.907 breakdowns per year (round your response to two decimal places). b)
a) The expected number of breakdowns per year with station employees performing maintenance =2.907 breakdowns per year (round your response to two decimal places). b) The cost of the current maintenance policy =$ (round your response to the nearest whole number). c) This manufacturer will guarantee repairs on any and all failures as part of a service contract. The cost of this service is $4,800 per year. Given this information, for maintenance the outsourced option is the most economical option. The fire department has a number of failures with its oxygen masks and is evaluating the possibility of outsourcing preventive maintenance to the manufacturer. Because of the risk associated with a failure, the cost of each failure is estimated at $2,400. The current maintenance policy (with station employees performing maintenance) has yielded the following history
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