Kolkmeyer Manufacturing Company is considering adding two machines to its manufacturing operation. This addition will bring the number of machines to ten. The president of Kolkmeyer asked for a study of the need to add a second employee to the repair operation. The arrival rate is 0.07 machines per hour for each machine, and the service rate for each individual assigned to the repair operation is 0.6 machines per hour.

1. Compute the operating characteristics if the company retains the single-employee repair operation. If required, round your answers to four decimal places.

	P0	= fill in the blank 1
	Lq	= fill in the blank 2
	L	= fill in the blank 3
	Wq	= fill in the blank 4 hours
	W	= fill in the blank 5 hours

2. Compute the operating characteristics if a second employee is added to the machine repair operation. If required, round your answers to four decimal places.

	P0	= fill in the blank 6
	Lq	= fill in the blank 7
	L	= fill in the blank 8
	Wq	= fill in the blank 9 hours
	W	= fill in the blank 10 hours

2. Each employee is paid $20 per hour. Machine downtime is valued at $70 per hour. From an economic point of view, should one or two employees handle the machine repair operation? Explain. If required, round your answers to two decimal places. Cost of one employee system: $ fill in the blank 11 Cost of two employees system: $ fill in the blank 12 From an economic point of view,should handle the machine repair operation.

one employeetwo employeestwo employees