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A crew of mechanics at the Highway Department Garage repair vehicles that break down at an average of λ = 5 vehicles per day (approximately Poisson in nature).The mechanic crew can service an average of μ = 10 vehicles per day with a repair time distribution that approximates an exponential distribution.
a.What is the probability that the system is empty?
b.What is the probability that there is precisely one vehicle in the system?
c.What is the probability that there is more than one vehicle in the system?
d.What is the probability of 5 or more vehicles in the system?
Standard Costs
The predetermined expenses for the production of a product or operation of a service, used as a baseline to measure performance.
Direct Labor Wage Variance
The difference between the expected cost of direct labor for production and the actual cost incurred.
Direct Labor Efficiency Variance
The difference between the actual hours worked and the standard hours expected, multiplied by the standard labor rate.
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