Scenario B.1 A Single Ticket Taker Can Tear Tickets and Direct Movie

question 41

Multiple Choice

Scenario B.1
A single ticket taker can tear tickets and direct movie patrons to their seats at a rate of 90 per hour.Customers arrive every minute for assistance and always wait,regardless of how long the line gets.Arrivals are governed by the Poisson distribution and service is governed by the exponential distribution.
-Use the information in Scenario B.1.What is the average time a customer must wait in line?

• A)0.66 minute
• B)1.33 minutes
• C)2.00 minutes
• D)3.00 minutes

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Definitions:

Standard Costs

Predetermined or budgeted costs for materials, labor, and overhead used for cost control and financial planning.

Materials Quantity Variance

The variance between the real amount of materials consumed in the manufacturing process and the anticipated standard amount.

Direct Materials Purchases Variance

The difference between the actual cost of direct materials purchased and the expected, or budgeted, cost.

Variable Manufacturing Overhead

Costs that fluctuate with production volume, such as indirect materials and utilities for machinery.