On Weekdays from 11: 30 Am to 2:00 Pm Customers

question 6

Multiple Choice

On weekdays from 11: 30 am to 2:00 pm customers arrive at a hotdog street vendor at the rate of 25 per 30 minute interval.Assume that this process can be well modeled by the Poisson distribution.What is the average time between customer arrivals?

• A)1.2 minutes
• B)0.833 minutes
• C)25 minutes
• D)0.04 minutes
• E)2 minutes

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Definitions:

Nominal Wage

The wage paid to employees in current currency terms, without adjustment for inflation, representing the face value of earnings.

Real Wage

The purchasing power of wages, adjusted for inflation, reflecting the actual goods and services that can be bought.

Inflation Rate

The measure of inflation through the rising cost of goods and services, which diminishes the power of currency.

Nominal Wage

The wage earned by an employee, expressed in current currency terms, without adjustment for inflation or changes in purchasing power.