A cafe is ruing 8 hours a day with the expected capability to serve 120 customers...
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A cafe is ruing 8 hours a day with the expected capability to serve 120 customers each day. Suppose during each day's 8 hour operating time, 96 customers arrive on average and there is a single line formed outside of the cafe. Suppose the manager wants to improve profitability by having no more than a 30% chance that no more than 3 customers will be in the system at any time, what should be the service rate that can reach this goal? A cafe is ruing 8 hours a day with the expected capability to serve 120 customers each day. Suppose during each day's 8 hour operating time, 96 customers arrive on average and there is a single line formed outside of the cafe. Suppose the manager wants to improve profitability by having no more than a 30% chance that no more than 3 customers will be in the system at any time, what should be the service rate that can reach this goal?
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To determine the service rate required to achieve the desired goal we need to consider the arrival rate the number of servers and the probability of having no more than 3 customers in the system at an... View the full answer
Related Book For
Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young
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