What would be additional profit if company managed to have

Assignment Help Business Economics
Reference no: EM1372599

Q. A company has started a phone service that uses overseas doctors to provide emergency medical consultations. Responding doctors are based in a country with low wages but with a highly skilled pool of physicians. Responding to each call takes on average 15 minutes. At any given time, re are 4 doctors overseas on duty. Calls arrive every 5 minutes on average (standard deviation is 5 minutes). Company receives $50 from patient's insurance company for each consultation. If one of 4 overseas doctors is available, firm pays $20 to doctor and makes $30 in profit. If no doctor is available overseas, call is rerouted to U.S. where a local physician answers question. A local physician is always available to take a call. In this case, firm pays $50 to local physician, so there's no profit for company.

(a) What is probability of a call being answered by a physician in US?

(b) What would be additional revenue per hour obtained if company managed to have 10 doctors overseas on duty at any given time?

(c) What would be additional profit if company managed to have 10 doctors overseas on duty at any given time?

 

Reference no: EM1372599

Questions Cloud

Determine kuroff optimal strategy : he estimates a repair cost of $150, Develop a decision tree for this situation and determine Kuroff's optimal strategy.
Create two-page written analysis for problem statement : Create a two-page written analysis based on the following specification: Problem statement, Possible outcomes if no action taken (this one is mine and the only thing i have to do) Alternative actions.
What would be better brewery location for minimizing annual : For se shipment patterns, what would be better brewery location for minimizing annual transportation costs to warehouses.
What are horizontal and vertical components of displacement : Throughout a race, runner runs 10.0 meters north, turns 45 degrees north of east, and runs 5 meters. Then, after a while, the runner turns due east and runs for 15 meters to finish the race. What is the magnitude and direction of the runner's tota..
What would be additional profit if company managed to have : What would be additional revenue per hour obtained if company managed to have 10 doctors overseas on duty at any given time. What would be additional profit if company managed to have 10 doctors overseas on duty at any given time.
Find information on aggregate income : I have been asked to find information on aggregate income. However, I also need to find information on labour and wealth income dis-aggregated.
How many electrons should transferred from the plate to rod : At what angle should a curve of radius 155m be banked, so cars can travel safely at 26m/s without relying on friction.
Write functional dependencies in table concerns invoicing : Write the functional dependencies in the following table that concerns invoicing (an application Premiere Products in considering adding to its database), subject to the specified conditions.
How does stakeholders satisfaction affect triple constraint : How does stakeholders' satisfaction affect triple constraint. What would you do to prevent changing project requirements that might lead to scope creep.

Reviews

Write a Review

Business Economics Questions & Answers

  Compute the average product of labor apl

Compute the average product of labor, APL, when the level of capital is fixed at 16 units and the firm uses 16 units of labor. How does the average product of labor change when the firm uses 81 units of labor.

  How lowered the costs and speeded production

the first automobiles were built in 1901, they were manufactured by skilled workers using hand tools. Later, in 1913, Henry Ford introduced the moving assembly line, which lowered costs and speeded production.

  Abc computer company

The unsold computer is carried on XYZ's books as an $800,000 increase in inventory.

  Action in response to the oil price increase

both the short run and the long run assuming that the government takes no action in response to the oil price increase.

  Compute the minimum rate of interest

Compute the minimum rate of interest, and, therefore, the risk premium, at which you would lend $1000 on the informal market. Suppose you are risk-neutral.

  What has been happening in florida in general

What has been happening in Florida in general in terms of unemployment over this time period. What about for GDP.

  Elucidate at what production quantity ?these two invest

assume that the yearly capital cost is 10% of the total investment. Elucidate at what production quantity ?these two investment are opportunities.

  Merit goods have received considerable attention

Merit goods have received considerable attention. Can concerts and other publicly provided services be rationalized using these ideas.

  Illustrate wwhat is the effect on the market for one hour

Illustrate wwhat is the effect on the market for one hour of babysitting services in Middling today.

  Intended to generate positive externalities

Which one of the following government actions is intended to generate positive externalities.

  What fraction of the total variation in trades

Illustrate what fraction of the total variation in trades of Bright Side remains unexplained.

  Banks assets and liabilities

Show how each of the following would initially affect a bank's assets and liabilities.

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