E) All of the above favor the success of vertical integration.
The first unit of a product took 1,000 hours to build and the learning curve is 85%. How
long will it take to make the first 5 units? (Use Table E.3)
A) less than 4,005 hours
B) from 4,005 to 4,015 hours
C) from 4,015 to 4,025 hours
D) from 4,025 to 4,035 hours
E) from 4,035 to 4,045 hours
At the order fulfillment center of a major mail-order firm, customer orders, already
packaged for shipment, arrive at the sorting machine to be sorted for loading onto the
appropriate truck for the parcel’s address. The arrival rate at the sorting machine is at
the rate of 100 per hour following a Poisson distribution. The machine sorts at the
constant rate of 150 per hour.
a. What is the utilization rate of the system?
b. What is the average number of packages waiting to be sorted?
c. What is the average number of packages in the sorting system?
d. How long must the average package wait until it gets sorted?