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Larry Ellison starts a company that manufacturers... Larry Ellison starts a company that manufacturers high-end custom leather bags.
He hires two employees. Each employee only begins working on a bag when a customer order has been received and then she makes the bag from beginning to end. The average production time of a bag is 1.8 days with a standard deviation of 2.7 days.
Larry expects to receive one customer order per day on average. The interarrival times of orders have a coefficient of variation of 1.
What is the expected duration, in days, between when an order is received and when production begins on the bag ?
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