Based on Ignall and Kolesar (1972). Father Dominic’s Pizza Parlor receives 30 calls per hour for delivery of pizza. It costs Father Dominic’s $10 to send out a truck to deliver pizzas. Each minute a customer spends waiting for a pizza costs the pizza parlor an estimated $0.20 in lost future business.
a. How often should Father Dominic’s send out a truck?
b. What would the answer be if a truck could carry only five pizzas?
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