a) Students returning to a secondary school have to pass through a check point at the rate of 50 per though. The average time fo
r checking is 35 seconds. The arrival rate and service rate follow a Poisson distribution. There is a delay and the principal is willing to include another check point to reduce the average time of checking to 28 seconds if the idle time is less than 10% and the average queue length is more than 10 students, check whether the introduction of an extra check point is justifiable
Cost =16000
rate of depreciation = 35%
written down value = 2000
depreciation for one year =16000*35% = 5600
5600*2 = 11200+5600*6\12 = 2000
the car is 2.5 years old. It has been depreciated for 2 whole years and half
years.