Abstract
The paper focus on analyzing the impact of warranty periods on the optimal age-replacement from the consumers'perspectives.First we construct themathematical formulations for age -replacement model.After optimizing we find there exists a unique optimal replacement age based the long-run expected cost rate is minimized.Further,a concise numerical example is demonstrated, and the sensitivity analysis of the warranty period to practicalreplacement age is carried out as well.Afterwards, the influnce of warranty periods on the optimal age-replacement under two situations thatpreventive replacement is within and beyond the warranty periods are comparedanalytically. Keywords: Warranty period;Practicalreplacement age;Preventive replacement age;Long-run expected cost rate.
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