Exhibit 13.1 The Following Questions Are Based on the Output Below

question 71

Multiple Choice

Exhibit 13.1
The following questions are based on the output below.
A store currently operates its service system with 1 operator. Arrivals follow a Poisson distribution and service times are exponentially distributed. The following spreadsheet has been developed for the system.
-Joe's Copy Center has 10 copiers. They break down at a rate of 0.02 copiers per hour and are sent to the service facility. What is the average arrival rate of broken copiers to the service facility?

• A) 0.02
• B) 0.2
• C) 10
• D) It cannot be determined from the information provided.

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Definitions:

Mutual Funds

Investment vehicles that pool money from multiple investors to buy a diversified portfolio of stocks, bonds, or other securities.

Jensen's Measure

A performance metric that evaluates the excess return of an investment portfolio over the predicted return by the Capital Asset Pricing Model (CAPM), adjusted for market risk.

Market Portfolio

A hypothetical collection of all market assets, each proportioned by its market value.

Betas

An evaluation measure for the volatility or inherent risk present in a security or portfolio in comparison to the total market.