Effects of Warranty Execution on Warranty Reserve Costs

摘要: Previous research has usually assumed full execution of warranty if a product fails within the time. This paper investigates effect on expected reserves linear pro rata rebate plan. The failure distribution investigated includes Weibull with different parameter values. A weight function is used that depicts execution. Several forms this modeling consumer behavior, which influenced by factors such as plan, time, class, and attrition, are studied. Expected present value reserves, using factor firm’s discount rate general inflation rate, found for functions. impact per unit explored. also effects model parameters, parameters differences in co...