Question 12
DMS lighting produces 3 types of bulbs (Type-A, Type-B and Type-C). The probability that a Type-A bulb will give more than 100 hours (>= 100 hours) of life is 0.8, with the corresponding probabilities of Type-B and Type-C bulbs being 0.6 and 0.7 respectively. In any production, 30% of the bulbs are of Type-A, 35% are of Type-B and 35% are of Type-C. Based on the above data, answer the given subquestions.
DMS is giving a replacement warranty for bulbs that last for less than 100 hours of life. The replacement will cost Rs. 8 for every Type-A bulb, Rs. 5 for every Type-B bulb and Rs. 6 for every Type-C bulb. Then, if 2,00,000 bulbs are produced and sold in a year, what would be the total warranty related cost that DMS will expect to incur? (Note: Input your answer in Rupees rounded to two decimal places. For example, if your answer is “Rupees 100.235” then enter the answer as “100.24”)