Dam Height, First Annual Probability of Flood if Height = Damages if Flooding Occurs $800,000 500,000 300,000 200,000 H (ft) Cost SO 0.25 20 700,000 0.05 800,000 0.01 900,000 0.002 30 40

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter9: Decision Making Under Uncertainty
Section: Chapter Questions
Problem 30P
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Telephone poles, once installed in a location, remain in useful service until one of a variety of events occur. (a) Name three reasons why a telephone pole might be removed from useful service at a particular location. (b) You are to estimate the total useful life of telephone poles. If the pole is removed from an original location while it is still serviceable, it will be installed elsewhere. Estimate the optimistic life, most likely life, and pessimistic life for telephone poles. What percentage of all telephone poles would you expect to have a total useful life greater than your estimated optimistic life? (c) What is an environmental life cycle assessment (LCA)? How do treated wood, metal, and concrete poles compare?

Dam Height, First
Annual Probability of
Flood if Height =
Damages if
Flooding Occurs
$800,000
500,000
300,000
200,000
H (ft)
Cost
SO
0.25
20
700,000 0.05
800,000 0.01
900,000 0.002
30
40
Transcribed Image Text:Dam Height, First Annual Probability of Flood if Height = Damages if Flooding Occurs $800,000 500,000 300,000 200,000 H (ft) Cost SO 0.25 20 700,000 0.05 800,000 0.01 900,000 0.002 30 40
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