A Queuing Model That Follows the M/M/1 Assumptions Has λ

question 61

Multiple Choice

A queuing model that follows the M/M/1 assumptions has λ = 10 and μ = 12.What is the average number of units in the system?

• A)0.83
• B)2
• C)2.5
• D)5
• E)6

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Definitions:

Risky Asset

An asset that has a significant degree of risk associated with it, offering the potential for higher returns in exchange for the increased risk.

Standard Deviation

A statistic that measures the dispersion of a dataset relative to its mean and is used in finance to gauge the amount of historical volatility of an investment.

Risk-Free Asset

An investment that is expected to return its principal and interest with near certainty, such as government bonds from stable countries.

Risky Asset

An investment that has a significant degree of uncertainty in its returns.