What percentage of the technician time

Assignment Help Business Management

Reference no: EM132075778

The Johnson Manufacturing Company operates six identical machines that are serviced by a single technician when they break down. Breakdowns occur according to the Poisson distribution and average 0.03 breakdowns per machine operating hour. Average repair time for a machine is five hours and follows the exponential distribution.

(a) What percentage of the technician's time is spent repairing machines?

(b) On average, how long is a machine out of service because of a breakdown?

(d) Johnson wants to investigate the economic feasibility of adding a second technician. Each technician costs the company $18 per hour. Each hour of machine downtime costs $120. Should a second technician be added?

Reference no: EM132075778

Questions Cloud

How many backhoes are waiting for service on average : (a) How many backhoes are waiting for service, on average? (b) How many are currently being served?

Is s corporation subject to the given section tax : Is S Corporation subject to the Section 1375 tax on passive investment income? If so, compute the amount of tax. Is S Corporation subject to the Section 1375.

What is the total futa wages : Chris has three employees, Daniel, Beverly, and Miguel. They each earn $21,500, $27,750, and $18,000. What is the total FUTA wages

How many hours per day is the repair person : (a) On average, how many hours per day is the repair person involved with service calls?

What percentage of the technician time : (a) What percentage of the technician's time is spent repairing machines? (b) On average, how long is a machine out of service because of a breakdown?

What effective annual yield can expect to earn : Ruth Hornsby is looking to invest in a three-year bond that makes semiannual coupon payments at a rate of 5.475 percent. If these bonds have a market price.

Discuss the assumptions underlying the solution : (a) How many turnstiles should be opened in each direction every morning? (b) Discuss the assumptions underlying the solution of this problem, using queuing.

What should susan claim as her withholding allowance : Susan earns $60,500 per year and her Husband does not work. What should Susan claim as her withholding allowance

What is the probability that a courier will have to wait : (a) What is the probability that a courier will have to wait for service? (b) On average, how many couriers will be waiting for service?

User Account

All Pages