Question: Refer to the Agan Interior Design situation in Problem 11. Agans management would like to evaluate two alternatives: Use one consultant with an average
• Use one consultant with an average service time of 8 minutes per customer.
• Expand to two consultants, each of whom has an average service time of 10 minutes per customer.
If the consultants are paid $16 per hour and the customer waiting time is valued at $25 per hour for waiting time prior to service, should Agan expand to the two-consultant system? Explain.
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A service time of 8 minutes has 608 75 Total Cost 25L ... View full answer
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