Question
A small company just opened a new massage station at the local airport. This company has a stand that offers messages to travelers. Customers can select a length of massage between 5 and 20 minutes and there is a unique rate of $30 independently of the length selected by customers. The average length of massage requested by customers is of 15 minutes with standard deviation of 10 minutes. There are three employees delivering massages. The average number of potential customers requesting a massage is of 15 per hour. The inter-arrival times are assumed to be exponentially distributed. If no spot is available when the customer arrives, s/he leaves in order not to risk missing her/his flight. What is average number of customers being serviced per hour at the massage station? (Fractions are possible. Round your answer to one digit after the decimal place. For example, if you calculate 10.637 type 10.6) Consider the process that has 3 stations, ordered in sequence: A, B and C. At each station, two consecutive tasks are performed one after the other. The time (in seconds per unit) it takes for a single person to perform each task is given in the table below (e.g., task A2 takes 67 seconds per unit). That means how many units does the system produces per minute? Give the answer with one digits after the decimal place. If you calculation shows 5.34 type 5.3 XYZ Mart's annual turns are 5, its Cost of Goods Sold (COGS) is 50.0 Billion, and its gross margin is 33%. Racial gross margin = (Revenue - COGS)/Revenue. What is the average inventory it holds in 3 Billion?
Explanation / Answer
Using the given information arrival rate = 15 customer per hour
Servicing rate µ= ?
P(0) = 0.275 (from std table)
Wq = 15 minutes (given)
Lq = No of customers in the queue = 3 (K =employees) - (+µ/µ) (Po)
Lq = 3 – (15 + µ/µ) (0.275)
Wq = Lq /
Therefore solving these 2 eqn we will get
µ = 5.42