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The school of business at abc university has a information desk manned by one student worker. It takes him an average of 3 minutes to answer questions raised by guests who visit the school building. Guests arrive at the desk at the rate of 15 per hour. Suppose that arrivals are Poisson and the service times are exponentially distributed.
A. What is the average waiting time in queue?
B. Suppose the worker earns $7.25 per hour. The cost of waiting time, in terms of customer unhappiness with the service received, is $5 per hour of time spent waiting in line. Find the total expected costs over an 8 hour day.
C. Should the school hire another worker? Justify.
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