Question: A manager intends to order a new machine and must now decide on the number of spare parts to order along with the machine. The

A manager intends to order a new machine and must

A manager intends to order a new machine and must now decide on the number of spare parts to order along with the machine. The parts cost $409 each and have no salvage value. The manager has compiled the frequency distribution for the probable usage of spare parts:7 spare parts with frequency 0.06,8 spare parts with frequency 0.18;9 spare parts with frequency 0.08; 10 spare parts with frequency 0.17; and 11 spare parts with frequency 0.51 For what range of shortage costs would stocking 9 spare parts constitute an optimal decision ? a. Between 64.58and 96.24 O b. Between 193.7and 288.7 . Between 155and 231 Od. Between 129.2and 192.5

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