For a Fast-Food Restaurant,the Average Waiting Time Can Be Formulated

question 90

Multiple Choice

For a fast-food restaurant,the average waiting time can be formulated as ________.

• A)
• \(\frac{\text {[(average number of customers) }\times \text { (average serving time)}^2]}{2 \times \text {[serving capacity - (avg. no. of customers }\times \text { avg. serving time)]}}\)
• B)
• \(\frac{[\text { ( average number of customers )} \times \text { average serving time } ^ { 2 } )]}{ \text {(serving capacity - (avg. no. of customers }\times \text{avg. serving time)}}\)
• C)
• \(\frac{\left[(\text { average customers per hour }) \times(\text { average serving time })^{2}\right]}{60 \text { minutes }}\)
• D)
• \(\frac{\text {[(average customers per hour) X (average serving time )}}{\text {(60 minutes) X (number of workers) }}\)

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Definitions:

Marginal Revenue

The additional income gained from selling one more unit of a good or service.

Purely Competitive

An alternative term for pure competition, describing a market structure with a high degree of competition, including many sellers offering identical products and free market entry and exit.

Minimum AVC

The lowest point on the average variable cost curve, indicating the most efficient scale of production with respect to variable costs.

Total Fixed Costs

The sum of all costs required to produce any level of output that remains unchanged, regardless of the level of production or sales.