Assume that the Littlefield Labs has the capacity to process 15.7 samples per day, and the demand rate is steady, but variable, with an average of 12.2 samples per day. The average work-in-process (WIP) inventory in the lab is 10.4 samples. How long does it take on average to process one sample? 

Note: So far in class we only considered the situation where the demand rate and processing times are deterministic, but the rule that the average flow rate is the minimum of the demand rate and capacity still applies here. Recall that the quoted lead time in the contract is 24 hours, with a penalty being applied if the lead time exceeds it. Judging by your answer to the question,  will the lab incur any penalties? That is, will be there any samples that are processed longer than 24 hours? Explain your answer.

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To calculate the average processing time per sample we can use the formula Average processing time p... View the full answer