Question: In a single-server waiting line system, if the average arrival rate is lower than the average service rate, which of the following is TRUE :

In a single-server waiting line system, if the average arrival rate is lower than the average service rate, which of the following is TRUE:

A.

if the arrival rate follows a Poisson distribution, there will be no queue.
B.

the waiting line becomes infinitely long.
C.

there will be some waiting in the system (but not infinitely long).
D.

the system utilization rate is greater than 1.0.

  1. Under the EOQ ordering, if both the fixed ordering cost and the unit holding cost rate were to increase by 25% each, what would be the impact on the EOQ (assume other factors stay the same)?

    A.

    remains the same

    B.

    increases

    C.

    decreases

    D.

    not enough information to tell

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