Many of a banks customers use its automatic teller machine to transact business after normal banking hours.

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Many of a bank’s customers use its automatic teller machine to transact business after normal banking hours. During the early evening hours in the summer months, customers arrive at a certain location at the rate of one every other minute. This can be modeled using a Poisson distribution. Each customer spends an average of 90 seconds completing his or her transactions. Transaction time is exponentially distributed. Determine:
a. The average time customers spend at the machine, including waiting in line and completing transactions.
b. The probability that a customer will not have to wait upon arriving at the automatic teller machine.
c. The average number waiting to use the machine.

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Operations Management

ISBN: 978-0078024108

12th edition

Authors: William J Stevenson

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