A bank is trying to determine which of two machines to rent for check processing. Machine 1 rents for $10,000 per year and processes 1000 checks per hour. Machine 2 rents for $15,000 per year and processes 1600 checks per hour. Assume that machines work eight hours a day, five days a week, 50 weeks a year. The bank must process an average of 800 checks per hour, and the average check processed is for $100. Assume an annual interest rate of 20%. Then determine the cost to the bank (in lost interest) for each hour that a check spends waiting for and undergoing processing. Assuming that interarrival times and service times are exponentially distributed, which machine should the bank rent?

create an exercise involving obtaining parts per hour of work. Example: (This is an example, do not answer) A factory that produces computer mice works in a quiet and regular manner since it does not sell its product to large companies, nor is its demand very variable.It produces 280 mice per month, of which 270 are conforming products. In October 2019, 23 days were worked. Its standard operating time is 7 hours a day, with a 30-minute lunch break. In addition, in the mornings the machines must be allowed to warm up for 20 minutes. The machines are operated in this manner from Monday to Friday. When they reach the production of 250 mice, they take a "break" to review the production so far. This waiting time (kanban) takes them 4 hours. Determine the total number of parts produced during the month of October 2019. Now, create another example of parts per hour of work:

8. Jim McDonald, manager of the fast-food hamburger restaurant McBurger, realizes that providing fast service is a key to the success of the restaurant. Customers who have to wait very long are likely to go to one of the other fast-food restaurants in town next time. He estimates that each minute a customer has to wait in line before completing service costs him an average of 30 cents in lost future business. Therefore, he wants to be sure that enough cash registers always are open to keep waiting to a minimum. Each cash register is operated by a part- time employee who obtains the food ordered by each customer and collects the payment. The total cost for each such employee is $9 per hour. During lunch time, customers arrive according to a Poisson process at a mean rate of 66 per hour. The time needed to serve a customer is estimated to have an exponential distribution with a mean of 2 minutes. Determine how many cash registers Jim should have open during lunch time to minimize his…

A Company that makes shopping carts for supermarkets and other stores recently purchased some new equipment that reduces the labor content of the jobs needed to produce the shopping carts. Prior to buying the new equipment, the company used 4 workers, who produced an average of 87 carts per hour. Workers receive $13 per hour, and machine coast was $32 per hour. With the new equipment, it was possible to transfer one of the workers to another department, and equipment cost increased by $18 per hour while output increased by four carts per hour.   a) Compute the multifactor productivity (MFP) (labor plus equipment) under the Prior to buying the new equipment. The MFP (carts/$) = .6949 (round to 4 decimal places).   b) Compute the % growth in productivity between the Prior to and after buying the new equipment. The growth in productivity = 25.55 % (round to 2 decimal places)