Question
There are currently 5 docks at the UPS port facility and ittakes 2.9 hours to process a truck. The facility operates 12 hoursa day 365
There are currently 5 docks at the UPS port facility and ittakes 2.9 hours to process a truck. The facility operates 12 hoursa day 365 days a year. During a year they expect 3400 trucks. Thecurrent operational costs are $49K per dock per year. The waitingcosts are estimated at $500 per day. UPS wants to determine ifeliminating one dock will reduce or increase total costs. Answerthe following. Complete all calculations with at least 2 decimalpoints. Please be sure to upload your notes/calculations after theexam. What is the arrival rate per day? . What are the WCe whenthere are 5 docks? . What are the RCe when there are 5 docks? .What are the TCe when there are 4 docks? . How many docks shouldUPS have to minimize total costs?
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