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Management Studies

Problem

Avis Company is a car rental company that is located three miles from the Los Angeles airport (LAX). Avis is dispatching a bus from its offices to the airport every 3 minutes. The average traveling time (round-trip) is 15 minutes.

a. How many Avis buses are traveling to and from the airport? (Do not round intermediate calculations. Round your answer to 1 decimal place.)

Number of buses

b. The branch manager wants to improve the service and suggests dispatching buses every 0.5 minutes. She argues that this will reduce the average traveling time from the airport to Avis offices to 2.5 minutes. Is she correct?

Yes

It depends on the time of day

There is insufficient information to answer this question

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92759138

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