The Decision Sciences Department is tyring to determine whether to rent a slow or fast copier. The department believes that an employee's time is worth $15/hour. The slow copier rents for $4/hr, and it takes an employee an average of 10 minutes to complete copying. The fast copier rents for $15/hr, and it takes an employee an average of 6 minutes to complete copying. On average, four employees per hour need to use the copying machine. (Assume the copying times and interarrival times to the copying machine are exponentially distributed.) Which machine should the department rent to minimize expected total cost per hour? Please note this class revolves around Microsoft Excel so the answer I need needs to show the formulas in Excel, along with any corresponding graphs, etc. Thank you in advance!
The Decision Sciences Department is tyring to determine whether to rent a slow or fast copier. The department believes that an employee's time is worth $15/hour. The slow copier rents for $4/hr, and it takes an employee an average of 10 minutes to complete copying. The fast copier rents for $15/hr, and it takes an employee an average of 6 minutes to complete copying. On average, four employees per hour need to use the copying machine. (Assume the copying times and interarrival times to the copying machine are exponentially distributed.) Which machine should the department rent to minimize expected total cost per hour?
Please note this class revolves around Microsoft Excel so the answer I need needs to show the formulas in Excel, along with any corresponding graphs, etc. Thank you in advance!
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