1. Truck Alpha initially costs $423 more than Truck Beta, but it consumes 0.04 liter/km versus 0.06 liter/km for Beta. Both trucks last 9 years, and Beta's salvage value is $106 smaller than Alpha's. Fuel costs $1.49 per liter. Other things being equal, beyond how many kilometers of use per year does Alpha become preferable to Beta?
2. Briefly describe TQM and Six Sigma Approaches to quality. What are the key elements of each of the approaches? Are there instances when one approach is preferred over the other? Explain your rationale.