A Manager Is Comparing the Total Maintenance (Preventive Plus Breakdown)

question 102

Multiple Choice

A manager is comparing the total maintenance (preventive plus breakdown) cost curves for two scenarios. The graphs have maintenance commitment on the x-axis and costs on the y-axis. Scenario A includes the direct breakdown maintenance costs, while Scenario B includes the "full" (direct and indirect) breakdown maintenance costs. Which of the following should the manager notice when going from Scenario A to Scenario B?

• A) Total cost is decreased.
• B) Optimal point is moved to the left.
• C) Optimal point is moved to the right.
• D) Preventative maintenance cost slope is increased.
• E) Total cost does not move.

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Definitions:

Thromboxanes

Lipid compounds that play a role in the blood clotting process by causing platelets to clump and blood vessels to constrict.

Fibrinogen

A soluble plasma glycoprotein that is converted to fibrin by thrombin during blood clot formation.

Plasmin

Enzyme derived from plasminogen; dissolves clots by converting fibrin into soluble products.

Fibrin

A fibrous, non-globular protein produced in the blood clotting process, essential for wound healing.