The lifetime of a car has a distribution H and the probability density h. Ms. Jones buys a new..

The lifetime of a car has a distribution H and the probability density h. Ms. Jones buys a new car as soon as her old car either breaks down or reaches the age of T years. A new car costs C1dollars and an additional cost of C2 is incurred whenever a car breaks down. Assuming that a T year old car in working order has an expected resale value of R(T),
(a) What is Ms Jones’ long run cost? (b) If H is the uniform distribution over (2,8) and if C1 = 4, C2 = 1, and R(T) = 4-(T/2), ?nd the value of T that minimizes Ms Jones long run average cost. (c) if H is exponentially distributed with mean 5 and if C1 = 3, C2 = 1 2, and R(T) = 0, ?nd the value of T that minimizes Ms Jones long run average cost

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