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?