Consider a process consisting of three resources. All three resources are staffed by one worker. Assume the demand rate is 10 units per hour. Resource 1 has a processing time of 17 minutes per unit. Resource 2 has a processing time of 15 minutes per unit. Resource 3 has a processing time of 12 minutes per unit.

1.What is the staffing level to meet the demand?

2.Assume the workers are paid $12 per hour. Each unit is sold for $20 and includes parts that are sourced for $1. The company has utility cost of $10 per hour. What would be the profits per hour if they were able to reduce the processing time at the bottleneck by 30%?