After completing this chapter, you should be able to:
- Give examples of systems that may lend themselves to be analyzed by a Markov model.
- Explain the meaning of transition probabilities.
- Describe the kinds of system behaviors that Markov analysis pertains to.
- Use a tree diagram to analyze system behavior.
- Use matrix multiplication to analyze system behavior.
- Use an algebraic method to solve for steady-state probabilities.
- Analyze absorbing states, namely accounts receivable, using a Markov model.
- List the assumptions of a Markov model.
- Use Excel to solve various problems pertaining to a Markov model.