Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Wheel Fun Rentals provide recreational tandem cycles to visitors in the City Park. The company has 3 7 cycles available. The average demand is 8
Wheel Fun Rentals provide recreational tandem cycles to visitors in the City Park. The company has cycles available. The average demand is customers requests arriving uniformly during hours each day the store is open. The coefficient of variation of arrivals is
Customers ride cycles on average for hours, with a standard deviation of hours. Given that Wheel Fun does not have any competitors, customers are willing to wait for cycles. The company has a policy to credit $ per hour per waiting request. This credit is prorated for fractional hours.
The average number of cycles Wheel Fun expect to be available for rent at any given time is Select
The average utilization for any cycle is Select
The amount of the time, on average, a customer have to wait before getting a cycle is Select minutes", minutes", minutes", minutes", minutes"
Average number of customers requests waiting at any time in the queue is Select requests", requests", requests", requests", requests"
Assuming days in a month, total monthly cost of customers waiting is Select $$$$$
A new cycles costs $ to the company. If they decide to buy an extra cycle, it will break even it's purchase cost in Select months due to savings from the waiting time refunds.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started