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Refer to the Agan Interior Design situation in Problem 11. Agan's management would like to evaluate two alternatives:
• Use one consultant with an average service time of 8 minutes per customer.
• Expand to two consultants, each of whom has an average service time of 10 minutes per customer.
If the consultants are paid $16 per hour and the customer waiting time is valued at $25 per hour for waiting time prior to service, should Agan expand to the two-consultant system? Explain.
Text Book: An Introduction to Management Science: Quantitative Approaches to Decision. By David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Camm, James Cochran.
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