Implantable Electronics & Neurodevices worked example

Warranty Reserve at 1% expected service incidence: a worked example in implantable electronics & neurodevices

This worked example runs the warranty reserve numbers for a tougher week than the baseline: 1% expected service incidence instead of the typical 0.8%. Estimate warranty or service reserve exposure for shipped implantable electronics using shipped devices, service cost, expected incidence, and fixed support adders.

The inputs for this scenario

  • Shipped implantable devices in reserve scope: 12,000 devices (held at the documented default)
  • Expected service cost per affected device: 1,450 $ / device (held at the documented default)
  • Expected service incidence: 1 % (the input this scenario stresses; the baseline uses 0.8)
  • Fixed field support reserve adders: 75,000 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Variable warranty reserve = shipped implantable devices in reserve scope × expected service cost per affected device × expected service incidence.
  • Total warranty reserve works out to 249,000 $ at these inputs, and this is the headline figure for the scenario.
  • Warranty reserve per shipped device works out to 20.75 $ / device at these inputs.
  • Variable warranty reserve works out to 174,000 $ at these inputs.
  • Fixed field support reserve adders works out to 75,000 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where expected service incidence sits at 0.8% and the headline result is 214,200 $, this scenario comes in 16.25% above the baseline at 249,000 $.
  • Use it at period close, at product launch, or when reliability data shifts the expected service incidence for a shipped implantable cohort. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Total warranty reserve: 249,000 $ (headline result)
  • Warranty reserve per shipped device: 20.75 $ / device
  • Variable warranty reserve: 174,000 $
  • Fixed field support reserve adders: 75,000 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Warranty Reserve calculator, set expected service incidence to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.