Question: 2. The following data was collected regarding breakdowns. What is your recommendation? The cost of a breakdown is $600. If we use preventative maintenance the

2. The following data was collected regarding breakdowns. What is your recommendation? The cost of a breakdown is $600. If we use preventative maintenance the cost of the maintenance contract will be $475 per month, with the guarantee of no more than 1.5 breakdowns per month.

A B C A*C
BREAKDOWNS MONTHS PROBABILTY BREAKDOWNS
0 3
1 5
2 7
3 11
4 9
5 2

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