The Everstart Is a Battery with an Intended Design Life

question 52

Essay

The Everstart is a battery with an intended design life of 72 months. Stephanie Bradley recently put five of these batteries through accelerated testing (the company couldn't wait six years) to simulate failure patterns. The test results had one failure at 26 months, one failure at 32 months, one failure at 50 months, and one failure at 62 months. Calculate FR(%), FR(N), and MTBF.

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Definitions:

Demand Schedule

A demand schedule is a table that shows the quantity of a good or service that consumers are willing and able to purchase at various prices.

Marginal Cost

The cost of producing one additional unit of a good or service.

Markup

The gap between the purchase expense of a good or service and the price at which it's sold, represented as a percentage of the buying price.

Concentration Ratios

Measures that indicate the degree of concentration in an industry, often used to assess competition levels.