Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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Category > Engineering Posted 14 May 2018 My Price 4.00

three drill bits

Consider a drill press containing three drill bits. The current policy (called individual replacement) is to replace a drill bit when it fails. The firm is considering changing to a block replacement policy in which all three drill bits are replaced whenever a single drill bit fails. Each time the drill press is shut down, the cost is $100. A drill bit costs $50, and the variable cost of replacing a drill bit is $10. Assume that the time to replace a drill bit is negligible. Also, assume that the time until failure for a drill bit follows an exponential distribution with a mean of 100 hours. This can be modeled in @RISK with the formula =RISKEXPON(100). Determine which replacement policy (block or individual replacement) should be implemented.

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Maurice Tutor
(5)
Status NEW Posted 14 May 2018 02:05 PM My Price 4.00

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