Purple Rose is an ATV rental shop located near a resort, which rents out ATVs to guests stay in the resort. When a customer requests to rent an ATV and no ATVs are available (they are either with another customers or being cleaned for rental), customer waits until an ATV is available. Once an ATV is rented out to a customer, the customer keeps it for an average of 1 hour (i.e., 60 minutes). Upon return, the ATV is cleaned and tuned-up, which takes about 15 minutes. Suppose Purple Rose has 7 ATVs, and demand for ATV rental is 3.36 per hour. What is the average amount of time a customer waits to receive an ATV? (Hint: From the perspective of customer waiting time, 15 minutes of cleaning time would be part of ``processing time". Assume CVa = CVp = 1 in your calculations). O 27 minutes O 1 minute. 3 minutes 6 minutes

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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Question 5
Purple Rose is an ATV rental shop located near a resort, which rents out ATVs to guests stay
in the resort. When a customer requests to rent an ATV and no ATVs are available (they are
either with another customers or being cleaned for rental), customer waits until an ATV is
available. Once an ATV is rented out to a customer, the customer keeps it for an average of 1
hour (i.e., 60 minutes). Upon return, the ATV is cleaned and tuned-up, which takes about 15
minutes.
Suppose Purple Rose has 7 ATVs, and demand for ATV rental is 3.36 per hour. What is the
average amount of time a customer waits to receive an ATV?
(Hint: From the perspective of customer waiting time, 15 minutes of cleaning time would be part of
"processing time". Assume CVa = CVp = 1 in your calculations).
O 27 minutes
1 minute.
3 minutes
6 minutes
Transcribed Image Text:Question 5 Purple Rose is an ATV rental shop located near a resort, which rents out ATVs to guests stay in the resort. When a customer requests to rent an ATV and no ATVs are available (they are either with another customers or being cleaned for rental), customer waits until an ATV is available. Once an ATV is rented out to a customer, the customer keeps it for an average of 1 hour (i.e., 60 minutes). Upon return, the ATV is cleaned and tuned-up, which takes about 15 minutes. Suppose Purple Rose has 7 ATVs, and demand for ATV rental is 3.36 per hour. What is the average amount of time a customer waits to receive an ATV? (Hint: From the perspective of customer waiting time, 15 minutes of cleaning time would be part of "processing time". Assume CVa = CVp = 1 in your calculations). O 27 minutes 1 minute. 3 minutes 6 minutes
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