With a Finite-Source Model, Increasing the Arrival Rate by 10

question 4

Multiple Choice

With a finite-source model, increasing the arrival rate by 10 percent and also increasing the service rate by 10 percent will result in a(n) :

• A) increase in the utilization of the server.
• B) increase in the average number of customers in the service system.
• C) decrease in the average time spent in the system, including service.
• D) increase in the waiting time in line.

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Definitions:

Resale Value

The expected price at which an asset can be sold in the market after it has been used.

Incremental Costs

The additional costs incurred when a company increases production by one unit.

Special Order

An order that deviates from the normal production process or product line, often requiring special pricing and handling.

Net Operating Income

A financial calculation that represents a company's total income generated from its operations, minus its operating expenses, excluding taxes and interest.