Two new checkout scanning systems

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Reference no: EM132174648

Two new checkout scanning systems are under consideration by a retail store. Arrivals to the checkout stand follow the Poisson distribution with per minute. The cost for waiting is $18 per hour. The first system has an exponential service rate of 5 per minute and costs $10 per hour to operate. The second system has an exponential service rate of 8 per minute and costs $20 per hour to operate. Answer the following: 1. Which system should be chosen? 2. What are costs per minute of each?

Reference no: EM132174648

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