Repairing of a machine consists of 5 steps that must be performed sequentially. Time taken to perform each of the 5 steps is found to have an exponential distribution with a mean of 5 minutes and is independent of other steps. If these machines break down in Poisson fashion at an average rate of 2/hour and if there is only one repairman, the average idle time for each machine that has broken down will be
An oil engine manufacturer purchases lubricant cans at the rate of Rs 42 per piece from a vendor. The requirement of these lubricant cans is 1800 per year. If the cost per placement of an order is Rs. 16 and inventory carrying charges per rupee per year is 20 paise, the order quantity per order will be