Question: Agans management would like to evaluate two alternatives: l Use one consultant with an average service time of eight minutes per customer. l Expand to
Agan’s management would like to evaluate two alternatives: l Use one consultant with an average service time of eight minutes per customer. l Expand to two consultants, each of whom has an average service time of ten 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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