Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Here's the most similar question from Chegg's library. Question Doc on call A company has started a phone service that uses overseas doctors to provide

Here's the most similar question from Chegg's library.
Question
Doc on call
A company has started a phone service that uses overseas doctors to provide emergency medical consultations. The responding doctors are based in a country with low wages but with a highly skilled pool of physicians. Responding to each call takes, on average, 15 minutes. At any given time, there are 4 doctors overseas on duty. Calls arrive every 5 minutes on average (standard deviation is 5 minutes). The company receives $50 from the patient's insurance company for each consultation. If one of the 4 overseas doctors is available, the firm pays $20 to the doctor and makes $30 in profit. If no doctor is available overseas, the call is rerouted to the U.S. where a local physician answers the question. A local physician is always available to take a call. In this case, the firm pays the $50 to the local physician, so there's no profit for the company. What is the additional revenue per hour obtained by having 10 doctors overseas on duty at any given time,

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Mainstreaming Human Security In Peace Operations And Crisis Management Policies Problems Potential

Authors: Benedek, Wolfgang; C. Kettemann, Matthias; Möstl, Markus

1st Edition

0415574021, 9780415574020

More Books

Students also viewed these General Management questions