subject
Business, 12.08.2019 18:10 sdolina5

First local bank would like to improve customer service at its drive-in facility by reducing waiting and transaction times. on the basis of a pilot study, the bank’s process manager estimates the average rate of customer arrivals at 40 per hour. all arriving cars line up in a single queue and are served at one of 4 windows on a first-come/first-served basis. each teller currently requires an average of 5 minutes to complete a transaction. the bank is considering the possibility of leasing high-speed information-retrieval and communication equipment that would cost $30 per hour. the new equipment would, however, serve the entire facility and reduce each teller’s transaction-processing time to an average of 4 minutes per customer. assume that interarrival and activity times are exponentially distributed. a) if our manager estimates the cost of a customer’s waiting time in queue (in terms of future business lost to the competition) to be $20 per customer per hour, can she justify leasing the new equipment on an economic basis? b) although the waiting-cost figure of $20 per customer per hour appears questionable, a casual study of the competition indicates that a customer should be in and out of a drive-in facility within an average of 8 minutes (including waiting). if first local bank wants to meet this standard, should it lease the new high-speed equipment?

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 09:20
Which statement best explains the relationship between points a and b? a. consumption reaches its highest point, and then supply begins to fall. b. inflation reaches its highest point, and then the economy begins to expand. c. production reaches its highest point, and then the economy begins to contract. d. unemployment reaches its highest point, and then inflation begins to decrease.
Answers: 2
question
Business, 22.06.2019 17:50
Bandar industries berhad of malaysia manufactures sporting equipment. one of the company’s products, a football helmet for the north american market, requires a special plastic. during the quarter ending june 30, the company manufactured 35,000 helmets, using 22,500 kilograms of plastic. the plastic cost the company $171,000. according to the standard cost card, each helmet should require 0.6 kilograms of plastic, at a cost of $8 per kilogram. 1. what is the standard quantity of kilograms of plastic (sq) that is allowed to make 35,000 helmets? 2. what is the standard materials cost allowed (sq x sp) to make 35,000 helmets? 3. what is the materials spending variance? 4. what is the materials price variance and the materials quantity variance?
Answers: 1
question
Business, 22.06.2019 20:00
A$100 million interest rate swap has a remaining life of 10 months. under the terms of the swap, the six-month libor is exchanged semi-annually for 12% per annum. the six-month libor rate in swaps of all maturities is currently 10% per annum with continuous compounding. the six-month libor rate was 9.6% per annum two months ago. what is the current value of the swap to the party paying floating? what is its value to the party paying fixed?
Answers: 2
question
Business, 23.06.2019 00:40
Assume the total cost of a college education will be $250,000 when your child enters college in 17 years. you presently have $69,000 to invest. what annual rate of interest must you earn on your investment to cover the cost of your child’s college education? (do not round intermediate calculations. enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Answers: 2
You know the right answer?
First local bank would like to improve customer service at its drive-in facility by reducing waiting...
Questions
question
Mathematics, 14.12.2020 17:10
question
History, 14.12.2020 17:10
Questions on the website: 13722360