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a)If the plant manager wants to minimize his expected cost, should he keep zero, one, or two parts in stock ? (Do not forget that
a)If the plant manager wants to minimize his expected cost, should he keep zero, one, or two parts in stock? (Do not forget that more than one machine can fail in one day!)
If there are zero parts in stock, expected cost is= 65*Pk*k, where k represents the machine breakdowns and Pk is the probability of machine breakdown.
It is missing the decision tree
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