Would the third crew member be economical

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Reference no: EM133961013

Question

Trucks arrive at the loading dock of a wholesale grocer at the rate of 1.2 per hour. A single crew consisting of two workers can load a truck in about 30 minutes. Crew members receive $10 per hour in wages and fringe benefits, and trucks and drivers reflect an hourly cost of $65. The manager is thinking of adding another member to the crew. The service rate would then be 2.4 trucks per hour. Assume rates are Poisson. Use

Table 1 and Table 2.

a. Would the third crew member be economical?

b. Would a fourth member be justifiable if the resulting service capacity were 3 trucks per hour?

Reference no: EM133961013

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