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Chapter 2: 10OQ (page 289)

Question:An enterprising student has set up an internship clearinghouse for business students. Each student who uses the service fills out a form and lists up to 10 companies that he or she would like to have contacted. The clearinghouse has a choice of two methods to use for processing the forms. The traditional method requires about 20 minutes to review the form and arrange the information in the proper order for processing. Once this setup is done, it takes only two minutes per company requested to complete the processing. The other alternative uses an optical scan/retrieve system, which takes only a minute to prepare but requires five minutes per company for completing the processing. If it costs about the same amount per minute for processing with either of the two methods, when should each be used?

Short Answer

Expert verified

Answer

There are two different methods involved to solve the above question which is used in different situations.

Step by step solution

01

Method 1 to solve the above question

Step 1: Method 1 to solve the above question

Form Processing = 20 minutes

Each company processing = 2 minutes

Total time for processing = 20 + 2 x10 = 40

02

Method 2 to solve the above question

Step 2: Method 2 to solve the above question

Form processing = 1 minutes

Each company processing = 5 minutes

Total time for processing = 1+ 5 x 10 = 51

Hence, 1 method is better as it is faster.

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