| Warranty is representation of the characteristics or quality of product and company have obligation to do rectification of product failures during the warranty period. Warranty will lead to additional costs for the company during the warranty period is called warranty costs. Warranty costs are related to the selling price of the product. So, it’s imperative for company to make estimates of warranty costs accurately. This research will estimate warranty cost two-dimensional of each component car type X. Car type X on the PT. XYZ has a warranty policy that has been established, the Free Replacement Warranty (FRW). The warranty period for all components of car type X is 3 years or 100,000 miles, which of the age or usage is reached first. This research used one-dimensional approach, which has determined the relationship between age and usage. In the one-dimensional approach, the usage is function of time with non-negative coefficients. The result showed that the average estimated warranty costs for car type X 20.159.739 IDR. There are proposals warranty policy, which limits expansion of the warranty will be 4.2 years and 128.000 km by raising the cost of warranty will be 166.721 IDR from the costs of the initial warranty that is expected to increase consumer reliance against car type X. |