Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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The Corner Cleaners 24-hour laundromat has 16 washing machines. A machine breaks down every 20 days
(exponentially distributed). The repair service the laundromat contracts takes an average of one day to repair a
machine (exponentially distributed). A washing machine
averages $5 per hour in revenue. The laundromat is considering a new repair service that guarantees repairs in
0.50 day, but they charge $10 more per hour than the
current repair service. Should the laundromat switch to
the new repair service?
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