Economical proposition to engage second attendant

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Reference no: EM132147578

A firm has a single-channel service station with the following empirical data available to its management.

i) The mean arround rate is 6.2 minutes

ii) The mean service time is 5.5 minutes

iii) The arrival and service time probability distributions are as follows:

Arrivals ( Minutes) Probability Service Time (Minutes) Probability

3-4 .05 3-4 .10

4-5 .20 4-5 .20

5-6 .35 5-6 .40

6-7 .25 6-7 .20

7-8 .10 7-8 .10

8-9 .05 8-9 .00

Total 1.00 1.00

The queuing process begins at 10:00 am proceeds for nearly 2 hours. An arrival goes to the service facility immediately; if it is empty otherwise it will wait in a queue. The queue. The queue discipline is first come first served. If the attendant's wages are K10,000 per hour and the customer's waiting time cost K11,000 per hour, would it be an economical proposition to engage second attendant?

Reference no: EM132147578

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