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For items 22-26, use the following information. A company has tool cribs where w

ID: 3315827 • Letter: F

Question

For items 22-26, use the following information. A company has tool cribs where workmen draw parts. Two men have applied for the position of distributing parts to the workmen, George Fuller is fresh out of trade school and expects a $6per hour salary. His average service time is 4 minutes (exponential distribution). John Cox is a veteran who expects $12 per hour. His average service time is 2 minutes (exponential distribution). A workman's time is figured at $10 per hour. Workmen arive (Poisson distribution) to draw parts at an average rate of 10 per hour.

Explanation / Answer

Q.24 Total cost For a system under george = Total number of arrivals in one hours * waiting charge + Salary

= 10 * (10 * 12/60) + 6

= 20 + 6 = $ 26

Q.25

Total cost For a system under John = Total number of arrivals in one hours * waiting charge + Salary

= 10 * (10 * 3/60) + 12

= 10 * 0.5 + 12 = $ 17

Q.26 JohnShould be hired as his expected total cost is lower.