Question
An auto-rental agency has two employees at its service counter. Customers arrive at an average rate of 18 per hour. The service times mean a
An auto-rental agency has two employees at its service counter. Customers arrive at an average rate
of 18 per hour. The service times mean a service rate of 15 customers per hour. The coecients of
variation of the inter-arrival times and the service times are both equal to 1.
1Compute the following measures of service performance for this facility: utilization,
average length of waiting line, average waiting time, and average total time spent in the facility?
2.Each additional customer gives the agency $15 in additional revenue. If the average
waiting time overall could be reduced 75%, two more customers per hour would be drawn from
competing auto-rental agencies. If the budget allows one additional employee, should that employee
be hired for $12 an hour?
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