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Examines the trade‐off between system redundancy and acceptance sampling as alternative means to improve system reliability. We assume that components of the system follow an exponential failure law and investigate expected times to failure of systems of various levels of component redundancy which have been exposed to acceptance sampling plans of various levels of stringency. We also show the probability distributions of system reliability for outgoing lots at various levels of component redundancy and sampling stringency. The paper shows a straightforward method for calculating these trade‐offs and provides the decision maker with a previously unavailable tool of system design and testing.

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