Monique's Gas-N-Go Is Considered to Have a Variable Demand

question 39

Multiple Choice

Monique's Gas-n-Go is considered to have a variable demand.The daily demand ranges from 240-300 customers per day,and they each purchase an average of four items.The average daily demand is 270 customers.The convenience store currently operates 12 hours each day and each order takes approximately 2 minutes.
Required
(a) Compute the average waiting time in minutes; (b) compute the cycle time for an order;and, (c) If Monique increased the hours that the store is open per day to 18 hours,how would that effect the average waiting time?

• A)3 minutes / (b)4 minutes/(c)waiting time will decrease by 1.2 minutes
• B)1 minute / (b)3 minutes/(c)Waiting time will increase by 1 minute
• C)3 minutes / (b)5 minutes/(c)Waiting time will decrease by 1 minute
• D)5 minutes / (b)4 minutes/(c)Waiting time will increase by 1.2 minutes.
• E)2 minutes / (b)3 minutes/(c)Waiting time will not change.

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Definitions:

Objective Probabilities

Quantifiable likelihood or chance of an event occurring, based on statistical and empirical evidence rather than subjective judgment.

Probabilities

A measure of the likelihood that an event will occur, expressed as a number between 0 and 1, where 1 indicates certainty.

Certainty

The state of being sure or confident about something, often referencing situations in decision-making where outcomes are known.

Uncertainty

The state of being unsure about the future or about the outcome of specific processes or events.