A Distribution of Service Times at a Waiting Line Indicates

question 18

Multiple Choice

A distribution of service times at a waiting line indicates that service takes 12 minutes 30 percent of the time and 14 minutes 70 percent of the time. In preparing this distribution for Monte Carlo analysis, the service time 13 minutes would be represented by the random number range

• A) 00 through 29
• B) 01 through 30
• C) 30 through 99
• D) 31 through 00
• E) None of these; 13 minutes is not a possible outcome.

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Definitions:

Purely Competitive

Describes a market structure where many small firms compete against each other, with no single entity able to control the market price.

Marginal Cost

The cost of producing one additional unit of a good, capturing how production costs change with the level of output.

Efficiently Allocated

A state where resources are distributed in a manner that maximizes the net benefits to society.

Marginal Revenue

The surplus income generated by a company through the sale of one extra unit of a good or service.