Calculate the maximum hourly rate, Basic Statistics

Assignment Help:

Question:

Sharp Discounts Wholesale Club has two service desks with one server at each desk.  There is one desk at each entrance of the store.  Customers arrive at each service desk at an average of one every six minutes following a Poisson distribution.  The average service time at each service desk is 216 seconds per customer following the exponential service distribution.

a)  How many customers, on average, are waiting in line in front of each service desk?

b)  How much total time does a customer spend at the service desk either waiting for help or receiving help?

c)  Looking at only one of the service desks, what is the probability that there are at least three customers waiting in line when the next individual arrives at this service desk?

d) Sharp is now considering consolidating its two service desks into one location, staffed by two clerks.  The clerks will continue to work at the same individual speed of 216 seconds per customer. 

  • How many customers, on average, are waiting in line?
  • How much total time does a customer spend at the service desk?

 

e)  Do you think the Sharp Discounts Wholesale Club should consolidate the service desks?  Explain and your discussion must consider both the economics and the customer service aspects of this waiting line operation.  There would be no extra cost for moving the two operations to one operation.  The clerks would continue to be paid the same as they were paid at the single desk operation.

f)  Suppose that it is no longer required that the clerks be paid the same under either operation.  The clerks under the consolidated operation are each paid $30 per hour and the estimated cost to Sharp for time a customer is at the service desk either waiting or being helped is $1 per minute.  What is the maximum hourly rate that each of the clerks can be paid under the two service desk operation so that the total cost of the operation is the same for either arrangement. Assume that there is no cost for consolidating the service.


Related Discussions:- Calculate the maximum hourly rate

Time series, Explain how you would decide whether to use the additive model...

Explain how you would decide whether to use the additive model or the multiplicative model to analyse a time series.

Velocity, A car moves with constant velocity along a straight road. Its pos...

A car moves with constant velocity along a straight road. Its position is x1 = 0m at t1 = 0 seconds and is x2 = 56 m at t2 = 5.0 s. what is the cars position at t=2.5 seconds and

Mean - median and frequencies, Put the appropriate summary statistics, e.g....

Put the appropriate summary statistics, e.g. mean, median, frequencies, percentages, for the different variables into a table to make them concise. You can see examples of consise

Correlation analysis and coefficient, Individual Music scores Mathematics s...

Individual Music scores Mathematics scores Angela 2 8 Arthur 6 3 Peter 4 9 Mike 5 7 Barbara 7 2 Jane 7 3 Jean 2 9 Ruth 3 8 Alan 5 6 Theresa 4 7 Assess the data using a Correlation

Functions of statistics .., Mention four characteristics and functions of s...

Mention four characteristics and functions of statistics

Check register, Check register The text or document used to evidence perti...

Check register The text or document used to evidence pertinent details relating to expenditure/expense vouchers & coding for each ensure issued,

Compute the mean absolute deviation and mean square error, Toyota Motors in...

Toyota Motors introduced a hybrid car Hybrid G in the U.S. market in 2006. In the first three years, the sales of Hybrid G were strong due to the buzz surrounding the hybrid car co

Random variables, A Biology student estimates that the probability that a c...

A Biology student estimates that the probability that a certain organism will live beyond 24 hours is .40. If he conducts on 7 of this type or organisms, find the probability that

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd