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Atlantic Video, a small video rental store in Philadelphia, is open 2 4 hours a day, and - due to its proximity to a major
Atlantic Video, a small video rental store in Philadelphia, is open hours a day, anddue to its proximity to a major business school
experiences customers arriving around the clock. A recent analysis done by the store manager indicates that there are customers
arriving every hour, with a standard deviation of interarrival times of minutes This arrival pattern is consistent and is independent of
the time of day. The checkout is currently operated by one employee, who needs on average minutes to check out a customer.
The standard deviation of this checkout time is minutes primarily as a result of customers taking home different numbers of videos.
a If you assume that every customer rents at least one video ie has to go to the checkout what is the average time a customer has
to wait in line before getting served by the checkout employee, not including the actual checkout time within one minuteDo not
round intermediate calculations. Round your answer to two decimal places.
The average waiting time is
min
b If there are no customers requiring checkout, the employee is sorting returned videos, of which there are always plenty waiting to
be sorted. How many videos can the employee sort over an eight hour shift assume no breaks if it takes exactly minutes to sort a
single video? Round your answer to nearest whole number.
c What is the average number of customers at the checkout desk both waiting and being servedDo not round intermediate calculations. Round your answer to two decimal places.
d Now assume for this question only that percent of the customers do not rent a video at all and therefore do not have to go through checkout. What is the average time a customer has to wait in line before getting served by the checkout employee, not including the actual checkout time? Assume that the coefficient of variation for the arrival process remains the same as before.
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