Applied Management Science A Computer Integrated Approach For Decision Making By Lawrence John A Pasternack Barry A Hardcover 2nd Edition John A Lawrence, Jr. - Solutions

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Consider the situation faced by Chris Block in problem 39, Using Crystal Ball, conduct 1000 simulation runs and determine the probability Chris earns at least $30.
Chris Block is a student who works on Saturdays selling ice cream in Central Park. The ice cream cart Chris uses holds 200 ice cream bars. Chris earns $.20 on each bar she sells. The distribution of the interarrival time of customers is estimated to be as follows.
Consider the situation faced by the campus bookstore in problem 37. Develop an Excel spreadsheet that will determine the bookstore’s profit for various order quantities of new and used textbooks. Using Crystal Ball, determine the optimal order quantity for new and used textbooks, basing each
Campus Bookstore is trying to decide on how many management science textbooks to purchase to serve students taking a summer course. The class anticipates having 25 students enrolled. For each student in the class, the following probability distribution is believed to hold.Student Probability Wants
Joe Marino is contemplating signing on to work as a fisherman on a four-person Alaska fishing boat this season. As a crew member, Joe will receive 10% of the revenue that the ship generates.The fishing season lasts anywhere from 125 to 144 days, depending on when the waters start to freeze up.Joe
Steve Wilson, a budding college impresario, is considering booking the rock band Soggy Crackers to play a college concert. There are two possible locations that Steve can book for the concert: the college’s amphitheater and its sports arena. The amphitheater will cost Steve $1000 plus 5% of
Consider the situation faced by Bank Drug Store in problem 33. Using Extend, develop a simulation for this model and run the simulation over 1 0 , 0 0 0 minutes to determine the average time a customer spends in line before being served.
Bank Drug Store has two servers. One can serve a customer according to an exponential distribution with a mean speed of 1.5 minutes, and the other can serve a customer according to an exponential distribution with a mean speed of 2 minutes. Customers arrive according to a Poisson process at a mean
Among the items sold at Hal’s Bakery are loaves of sourdough bread. The daily number of customers who arrive at Hal’s approximately follows a normal distribution with a mean of 240 and a standard deviation of 15.49. There is a .25 probability that a customer wishes to buy one loaf of sourdough
Using Crystal Ball, run 1000 simulations. Based on the results of your simulation, determine:a. a 95% confidence interval for the average time a set spends in the systemb. the probability the average time a set waits before being served is less than 30 minutes
Consider the Ted’s TV Repair $hop simulation developed in problem
Customers arrive at Ted’s TV Repair $hop according to a Poisson process at an average of once every 2.5 hours.By using existing equipment, the service time to repair a television set is 2.25 hours with a standard deviation of 45 minutes. $uppose Ted decides to hire a second repair person and this
Kokanee Springs Golf Resort in British Columbia has a season that typically begins on April 15 and lasts until October 10. Unusually cold weather, however, can delay the start of the season or hasten the season closing date.Hence management believes that the length of the golfing season can be
MVC Computers is considering using e-commerce to sell its computers directly over the Internet. It is planning to staff the website 24 hours a day with a supervisor and a trainee. An incoming order that arrives when both the supervisor and trainee are busy is put in a“pending file” (a queue)
Daily demand for Webcor barbeques at Sharper Idea has the following probability distribution:D em a n d P rob a b ility 0 .08 1 .37 2 .33 3 .17 4 .05 Orders are placed at the end of the day, and lead time (in days) has the following probability distribution.
During its first hour of operation customers arrive at the Wednesday Afternoon Store according to a Poisson process with a mean rate of 40 per hour. It takes the cashier an average of 90 seconds to check out a customer.a. Simulate the arrival of 15 customers and determine the average time these
Among the products sold by Dominion Hardware is the Simoniz brand pressure washer. These are delivered to the store by a rack jobber who works under contract for Simoniz. The rack jobber comes to the store on Monday of each week, but in any week there is a 30% chance that he gets delayed and does
The speed at which cars travel down Main Street in Irvine, California, follows a normal distribution with a mean of 42 miles an hour and a standard deviation of 5 miles per hour. The Irvine Police Department is contemplating setting up a speed trap at the corner of Main and Alton streets to try to
Marv Portney is a salesman for Craftco Comfort Beds.Marv gets his leads when customers call the Craftco 800 number to arrange an in-house demonstration.(Customers receive a free clock-radio for agreeing to this demonstration.) Of the customers with whom Marv makes appointments, 1 0 % turn out to be
Family Appliance specializes in selling major appliances for use in kitchen remodeling. One of its more popular items is the SubZero refrigerator. Over the past 40 weeks, the store has collected data regarding the weekly demand for this refrigerator. On the basis of these data, the following demand
Ontario, California, is a suburb of Los Angeles. Its airport serves primarily domestic air traffic; however, occasionally an international flight is diverted to Ontario if Los Angeles International Airport is fogged in. If an international flight arrives at Ontario, two customs inspectors set up
The Quick Stop Convenience Store has two gas pump islands, one for full service and one for self service. Cars arrive at the gas pumps according to a Poisson process at a mean rate of 20 per hour. Sixty percent of the cars want self serve, while 40% want full serve. The service time for the
Customers arrive at the Blinkies Donut shop between 6:30 A.M. and 8:30 A.M. according to a Poisson process with a mean rate of one every minute. Seventy percent of the arriving customers purchase one or two donuts, while 30% purchase the Blinkies Dozen pack. For customers purchasing one or two
Harvest Supermarket has one loading dock for receiving deliveries. During any half-hour interval, either 0, 1, 2, or 3 delivery trucks arrive with the following probabilities:P(0 arrivals) = .60 P(1 arrival) = .25 P(2 arrivals) = .10 P(3 arrivals) = .05 Eighty percent of the delivery trucks can be
Use Crystal Ball to develop a simulation for the model where each cashier handles both cash and credit card purchases. Run the simulation 500 times, each for 10 hours (36,000 seconds) and determine 95% confidence interval for the average time a customer must wait for service.
Consider the situation faced by Burger Barn described in problems 15 and
Consider the situation faced by Burger Barn discussed in problem 15. The restaurant has hired a second cashier.One cashier will handle cash purchases only while the other cashier will only handle credit card customers.Using Excel, develop a simulation that determines the average time a customer
During the dinner hour, the distribution of the interarrival time of customers at Burger Barn is estimated to be as follows:In tera rriv a l T im e P robability 30 seconds .45 60 seconds .25 90 seconds .15 120 seconds .10 150 seconds .05 Sixty percent of customers pay with cash, while 40% pay with
Terry Moore has three alternative routes to travel from his home in Tustin to his office in Anaheim. He can take the Santa Ana Freeway to the Orange Freeway; the Costa Mesa Freeway to the Riverside Freeway; or the Garden Grove Freeway to the Orange Freeway.The travel time (in minutes) on each of
Shari Winslow has gone to Atlantic City to play roulette.Her strategy is to place $10 bets on red. She has $30 and will quit either when she loses all her money or wins $20.If the roulette wheel is operating properly, the chance of landing on red is 18/38, the chance of landing on black is 18/38,
Ricon, Inc. uses an assembly line to produce its office copiers. The final step in the assembly process is quality control inspection. Copiers arrive at the quality inspection area exactly every 90 seconds. The time it takes to perform a quality control inspection follows an exponential
The distribution for weekly demand of Cobra auto alarm systems at Big Al’s Stereo is as follows:Demand Probability 0 .15 1 .10 2 .25 3 .20 4 .15 5 .10 6 .05 The alarm systems cost Big Al’s $100 and sell for $200.The annual holding cost rate for these systems is 26%, and there is a $65 cost to
The Treasure Trove Casino in Las Vegas has a free telephone booth that allows customers to make a oneminute telephone call anywhere in the United States at no charge. Customers arrive to make their free calls according to a Poisson process at a mean rate of A =40 per hour. The time each customer is
Attendees at the annual Orange County Small Business Administration Conference register by standing in line to pay their registration fee and then proceeding to a designated line based on their business interest to collect their materials. The conference addresses four types of small businesses:
Consider the data given in problem 7 for Albright’s Hardware. The company is considering changing its inventory policy so that it begins each week with six single sets and only four two-packs. Conduct a fourweek simulation using the same random numbers as in problem 7 to determine whether there
Albright’s Hardware sells Security brand dead-bolt locks in single packages and two-packs (one key fits both locks). Single packages sell for $12 each, while two-packs sell for $30. Albright’s cost is one-half the retail selling price.Albright’s is open seven days a week and receives a
At Steve’s Super Scooper, two employees serve customers during the lunch hour. One employee gets the customer’s ice cream selection, while the other receives payment. Customers arrive at Steve’s according to a Poisson process, having a mean interarrival time of 1.5 minutes. The time it takes
Dizzy Izzy is a discount appliance store specializing in home entertainment equipment. The firm carries two brands of satellite antenna systems: Panasony and ChannelMaster. Due to the high cost of ordering these systems and the rapid changes in the technology, Dizzy Izzy’s policy is to not
Taks Home Furnishing is currently having its year-end appliance clearance sale. The store has twelve 18-cubicfoot Whirlpool refrigerators on sale; 5 are white, 4 are almond, and 3 are harvest gold. Each day, the company expects between 0 and 4 customers interested in buying a refrigerator to arrive
Consider the following PERT project describing the planning of regional sales meetings by Craig Computer Corporation:The immediate predecessor jobs and expected completion time for each job are as follows:Immediatea. Determine the critical path(s) and the expected completion time for the project.b.
It has been estimated that customers arrive at the Quick Stop Convenience store during the evening according to a Poisson process at a mean rate of 40 per hour. Each customer buys between zero and five lottery tickets according to the following probability distribution:
Price changes of shares of the Saveway Stores, Inc. have been recorded over the past 50 days. The frequency distribution is as follows:Price Change Frequency- 1 / 2 3 days-3/8 4 days-1/4 5 days- 1 / 8 6 days 0 1 0 days+ 1 / 8 1 2 days+ 1/4 4 days+ 3/8 3 days+ 1 / 2 3 daysa. Develop a relative
Gameland is a combination miniature golf course and video arcade. One of the most popular games in the arcade is Thunderblaster, a virtual reality space trip. The playing time for Thunderblaster is exactly 2 minutes. An additional 30 seconds is required for a player to put on the virtual reality
Customers arrive at Burger Barn on the average of once every 72 seconds. The average time to serve a customer is 1.5 minutes. Employees earn $12 per hour in wages and benefits, and the goodwill cost of a customer being in the system is estimated to be $25 per hour. For the next two weeks Burger
Zoro’s Bistros is a chain of upscale, limited-item selfservice restaurants. During the dinner hours, the restaurant serves a $7.95 fixed-price dinner consisting of a choice of soup, main dish, dessert, and beverage. Since there are four food categories, management believes that customer service
Daily Fax Incorporated (DFI) is an automated information system that operates as follows: Customers call an 800 phone number and input their fax number and information request (sports scores, stock market information, topical cartoons, jokes) using a touch-tone telephone. The computer then faxes a
The California Highway Patrol conducts random truck inspections on certain California highways. On a particular day, three Highway Patrol units have set up an inspection station for checking truck brakes. Whenever one of the three units become available, the next trucker to pass the inspection
Consider the situation faced by Dinkie Donuts (problem 34). Management feels that if the average number of cars waiting in line (excluding cars being served) were reduced to one or less, the probability that a car traveling down Euclid Avenue would stop at Dinkie Donuts would increase to .004. If
Cars travel down Euclid Avenue at the mean rate of 12,000 per hour. The probability that a car will stop at the drive-thru window of Dinkie Donuts is .003. Hence, the arrival process of cars can be modeled using the Poisson distribution with average arrival rate λ = 36 per hour. The average time
Sue Patterson recorded the length (in seconds) of 50 messages left on her telephone answering machine.These data are as follows:
Mark Trading Company employs two workers in its order processing department. Each worker processes orders according to an exponential distribution with a mean of 5 minutes. Customer arrivals follow a Poisson process with a mean of 18 customers per hour.a. WTiat is the probability that both workers
An analysis of 31 customers at Pat’s Pet Shop indicated the following 30 interarrival times (in seconds): 96, 84, 29, 61, 27, 231, 256, 243, 43, 117, 320, 267, 177, 605, 105, 653, 35, 18, 451, 34, 486, 2, 442, 46, 424, 562, 244, 1, 6 , 103. The mean of this data set is 205.6 seconds, and the
Jack’s Joke Shop of Boston sells novelty items (joy buzzers, rubber chickens, whoopy cushions, and so on).Customers arrive according to a Poisson process on the average of once every 5 minutes. Jack prides himself on the personal service he offers his customers. The time Jack spends with
Ernest D. Johnson is a discount stock brokerage firm located in Sun Valley, Idaho. Johnson is the only employee, and he works out of his house, where he receives all customer orders by telephone. Johnson receives an average of 1 0 client calls per hour, and he spends an average of 4 minutes
Customers arrive at Dave & Steve’s bookstore according to a Poisson process at a mean rate of 48 per hour. The store pays its sales clerks $7.50 per hour in wages and benefits. Dave & Steve’s estimates the goodwill cost of a customer waiting to be served at $ 6 per hour and the goodwill cost of
Larry Pembroke is a repair person for Copyco, a firm that has copying machines located at libraries, supermarkets, and court houses. Larry is responsible for maintaining the copiers assigned to him. On the average, each copier needs service once every 2 5 working days. Including travel time to the
Circle J convenience store has two check-out counters.Customers arrive according to a Poisson process at an average rate of one every 90 seconds. On the average, each of the 2 checkers serves 50 customers per hour, and service times follow an exponential distribution.Circle J is considering
Soup Herman is a restaurant that serves soup and salad.Customers first line up in a cash register line to pay for their meals. After paying, they proceed to one of four salad bars. While all customers purchase salad, only 60%of customers go on to take the soup from one of the two soup
Bronco Burger has a drive-thru window for take-out orders. Because of space limitation, the restaurant has been designed to allow a maximum of 5 cars in the drivethru window line (including the car being served). If the line is full, cars will not stop at Bronco Burger but will instead drive to a
The telephone system at WAVY Radio has 6 incoming phone lines and 2 operators to take listener requests for music. If both operators are busy, a customer is normally placed on hold. If all 6 phone lines are busy, however, callers will get a busy signal and probably not call back.Customer calls to
Steve Jackson is responsible for maintaining a fleet of 8 school buses. On the average, a bus will need repair work every 20 days. The average time required to perform this work is one day. Both the time between needed repairs and the time to perform repairs are expected to follow exponential
Tie One On, an exclusive men’s clothing store specializing in ties, is planning to develop a store in a new shopping mall. Customers are expected to arrive at the store location at random at an average rate of 40 per hour. The store will be open 10 hours per day. Service times are assumed to
Mr. Chips manufactures automated vending machines that can prepare a single order of french fries in exactly 45 seconds. The company has placed one of its machines in the student union building of a local community college, where it believes customers will arrive according to a Poisson process at
Pat Smith and Chris Brown are two applicants for the position of telephone receptionist at Taylar Industries.Both applicants can handle a phone call in an average of one minute. The standard deviation of Pat’s service time is 10 seconds, while the standard deviation of Chris’s service time is
Consider the situation at Harry’s Variety Store (problem 17). Harry is considering consolidating the two checkstands into one centralized location in the middle of the store. He estimates that the combined average of 8 6 customers per hour would arrive at the centralized location. Cashiers will
Harry’s Variety Store has two checkstand locations—one at the front entrance to the store, the other at the rear.The checkstand locations are so far apart it is reasonable to expect that customers will not jockey between them.The checkstand in the front has two cashiers, while the checkstand in
Jobs arrive randomly at Mike’s Custom Framing at an average rate of 5 per hour. The store is considering purchasing one of two machines for automating the framing process. One machine results in a mean service time of 8 minutes and a standard deviation of .3 minute while the other machine results
Customers randomly arrive at the Northpointe wholesale flower market according to a Poisson distribution at an average rate of 100 per hour. Service times follow an exponential distribution with an average time of 5 minutes.How many servers should be hired so that the average time a customer waits
The Atlas Health Club has one tanning booth for its customers. Users of the tanning booth spend exactly 5 minutes in the facility. Customers arrive at the booth according to a Poisson process at the mean rate of 8 per hour.a. What is the average time a customer must wait in line to use the tanning
Muncie State University runs its registration line by dividing the student population into three equal groups based on student ID numbers. A student will enter the appropriate line to register, and jockeying among lines is not permitted. The arrival rate of students for each line follows a Poisson
Customers arrive at random at the Lickety Dip Ice Cream store between the hours of 8 P.M. and 11 P.M.according to a Poisson distribution with an average rate of 18 per hour. Service times follow an exponential distribution, with the average service time depending on the server hired. The store has
INFOSERVE, Inc. is a 900 line telephone service that supplies various kinds of obscure information. The company is expanding its service to Monmouth County, Newjersey, and has allocated $60,000 to purchase the computer systems necessary to handle customer calls.INFOSERVE has received bids from two
Consider the information given in problem 9 for Dolly Foods. For the same amount that Dolly is paying the two cashiers, she can lay off one cashier and use the savings to lease an optical scanning system. The resulting checkout times will then follow a distribution, with a mean service time of 3
At Dolly Foods, customers spend an average of 25 minutes selecting their groceries and checking out by entering a single-line queue served by two cashiers. The service times required for the cashiers to check out customers follow an exponential distribution and average 4 minutes. Customers arrive
On Saturday morning customers arrive at the Armstrong Nursery at the average rate of 25 per hour. There are 8 employees who assist customers in selecting their plants.Each employee spends an average of 15 minutes with a customer. Following plant selection, customers then go to pay for their
Randy Powell is responsible for maintaining the 60 personal computers at the Upbid.com corporate office.On the average a computer needs servicing by Randy once every 40 days, and Randy spends an average of 2 hours servicing a computer. If Randy works 8 hours a day and the time between when a
On Saturdays customers arrive at Patterson’s Custom Jewels according to a Poisson distribution at a mean rate of 7 per hour. The store has 4 clerks working on Saturday, and the time a clerk spends with a customer follows an exponential distribution with a mean of 2 0 minutes. For security
Cars arrive for servicing at Al’s Repair Shop according to a Poisson distribution at a mean rate of 4 per day. The average time A1 takes to work on a car is 2 hours, and the standard deviation is 15 minutes. A1 is the only employee, and he works 10 hours a day. Determine the average number of
Customers arrive at Homestake Bank between the hours of 10 A.M. and 11 A.M. according to a Poisson distribution at a mean rate of 40 per hour. During the period from 10 A.M. to 11 A.M. the bank has 3 tellers working. The average time a teller spends with a customer is 3 minutes, and service time
Students arrive at the Vermont University library reference desk according to a Poisson distribution at a mean rate of 12 per hour. The librarian spends an average of 4 minutes with each student, and service times follow an exponential distribution. What is the average number of students who will
Frank’s Garden Center sells McMurray riding mowers.McMurray has found itself with an excess inventory of Model 412 mowers and is temporarily offering dealers a discount of $75 off its normal wholesale price of $725.Frank’s sells the Model 412 at a retail price of $895 and estimates that its
Johansen’s Ice Cream Shoppe purchases fresh-baked waffle cones from the Myra Cone Company. The cones cost Johansen $0.28 each and are delivered once each day.Johansen’s charges customers who want their ice cream in a waffle cone an extra $0.40. If Johansen’s runs out of waffle cones, it
Consider the data from problem 37. Suppose IMTEL has decided to offer incremental price discounts on chips sold to Microvision. In particular, the new pricing schedule is as follows:O rder Q uantity D iscount 1 -4,999 none 5,000-24,999 5%25.000- 49,999 8 %50.000- 99,999 10%100,000 or more 13%
Microvision currently purchases a particular computer chip from IMTEL for $12.42 each, for use in its PC computers. Microvision’s annual demand for the chip is ?
Clark Equipment distributes the Clanton Model 406 bread slicer used in bakeries. The slicers cost $250 each, and Clark sells them to net $306 after marketing and related expenses. The company estimates that the annual demand for this product is 450 units.The policy at Clark has been never to allow
The Circle 7 convenience store has been receiving deliveries of Royal Cola once a week. Weekly demand for the cola averages 60 cases and follows a normal distribution with a standard deviation of 12 cases. When the delivery truck arrives, the store orders enough cola so that the cycle service level
Stefani Foods produces fresh pasta products for sale through local supermarkets. One product that is quite popular is fresh linguini and clam sauce. This item has a shelf life of two weeks and costs Stefani $1.19 per unit to produce. The product retails at a suggested price of$1.99 and is sold to
Clothesline, Inc. is a retailer of moderately priced women’s clothing. Clothesline’s policy is to give customers a $5 gift certificate if they request an out-ofstock advertised item. This certificate is estimated to cost the company only $3, but it avoids a loss in customer goodwill.
Business Supply Company, Inc. (BSC) is a local distributor of the NCQ electronic cash register. The cash registers cost BSC $320 each, and (neglecting inventory costs) BSC estimates it earns a profit of $80 on each cash register sold. The cost of ordering the cash registers from NCQ is $100, and
Pete’s Coffee is planning to stock the Melvitta brand espresso maker. Pete’s estimates the annual demand for this coffee maker to be 180 units. The machines, which retail for $189 each, are imported from Italy and cost Pete’s $95 each. The cost to place an order with Melvitta is $150, and the
The coffee roaster at Pete’s Coffee can roast 600 pounds of coffee per day. Pete’s is open 310 days per year, and, because of freshness requirements, the store never roasts more than a 1 0 -day supply of any type of coffee it sells.Daily demand for French Roast coffee averages 75 pounds, while
Pete’s Coffee is a local shop that roasts and packages its own coffee. The store purchases its Colombian coffee beans from Valdez Importing Company (VIC). VIC offers its customers the following?
Scott Stereo orders Dutch brand cassette tapes once every three weeks. Weekly demand for the T-60 format is approximately normal with a mean of 2 0 0 units and a standard deviation of 30 units. The tapes cost Scott$0.65 each and sell for $1.25. Lead time for delivery is one week. Scott desires a
Scott Stereo sells personal tape players. One of its more popular sellers is the Sonic Walkperson. These units cost Scott $18.55 each and retail for $32.95. Weekly demand averages 12 units. The cost of placing an order with Sonic is $25, and lead time is two weeks. Scott uses a 26% annual inventory
Jackson Mint produces collectible plates. It has recently contracted with the estate of well-known artist, Skip Gunther, to produce a series of five commemorative plates bearing copies of the artist’s most famous pictures.The plates will be sold by subscription at a cost of $275 plus shipping and
Masks-R-Us sells Halloween masks at a kiosk in the local mall. The store is open only during the month of October. Masks are imported from Asia and cost the store $3.45 each; they retail for $9.95 each. Any masks left in inventory after Halloween are sold to a merchandise closeout specialist at a
How would your answers to problem 23 change if Sonic offered Click the following all units discount schedule?O rd er Q uantity D iscount 200-599 5.0%600-999 7.5%1000 or more 9.0%
Click Pix, a large discount camera shop in New York City is open six days a week, 52 weeks a year. The store has recently begun carrying 5onic model P$58 camcorders which cost $520.00 each and retail for$649.99. $ales average 60 units per week.The cost of placing an order with Sonic is $90, and the
Bee’s Candy manufactures a variety of candy bars in a number of different sizes. One of its more popular products is the three-ounce Smirk bar. Bee’s forecasts that demand for this product should be fairly constant over the next year, totaling 2 1 million bars.The candy production line, which
Archer Pharmaceuticals manufactures Tranquility brand sleeping pills, which have an average weekly demand of 25,000 bottles. The Archer factory operates 10 hours day, six days a week. The production line at Archer Pharmaceuticals can produce 10,000 bottles of Tranquility daily. Archer’s policy is

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Applied Management Science A Computer Integrated Approach For Decision Making By Lawrence John A Pasternack Barry A Hardcover 2nd Edition John A Lawrence, Jr. - Solutions

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