Question: For a mainframe computer, a preventive maintenance inspection and repair cycle costs a total of $2,000 on the average. If the computer breaks down, an

For a mainframe computer, a preventive

For a mainframe computer, a preventive maintenance inspection and repair cycle costs a total of $2,000 on the average. If the computer breaks down, an average cost of $5,000 is incurred. The historical breakdown pattern for the computer is the following Months between PM 1 2 3 4. 5 Average number of breakdowns between PM 0.2 0.6 1.8 3.6 7.0 a) Recommend how often preventive maintenance should be performed. b) For the above information, suppose that the average cost of a breakdown is unknown What is the breakdown cost that would have the total cost of the 2-month PM cycle equal to the 3- month PM cycle

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