Question: In a factory the average breakdown rate is 3/hour. The idle time cost is estimated to be Rs 16/ hour. The factory works 8 hours/day.

In a factory the average breakdown rate is 3/hour. The idle time cost is estimated to be Rs 16/ hour. The factory works 8 hours/day.

The factory manager is considering two mechanics for repairing the machines. Mechanic A takes, on average 15 minutes in repairing a machine and demands wages of Rs 8/ hour. Mechanic B takes 10 minutes only but demands Rs10/hour.

Assuming that the machine breakdown is in poison distribution and repair time exponentially distributed which of the two mechanics should be engaged. Please provide ste by step manual answer (refrain by giving inclusive or aggregate answer)

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