A fly-by-night airline offers red-eye flights between San Francisco and Washington D.C. The full fare ticket price

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A fly-by-night airline offers “red-eye” flights between San Francisco and Washington D.C. The full fare ticket price is $700 and the advance purchase discount fare is $400. The demand for full fare tickets is distributed Normal with a mean of 100 and a standard H-deviation of 25.

How many full fare seats the airline should set aside in order to minimize the total expected cost?

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Service Systems Engineering And Management

ISBN: 978-0367781323

1st Edition

Authors: A. Ravi Ravindran ,Paul M. Griffin ,Vittaldas V. Prabhu

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