Reconsider the Leisure Airlines problem from Section 12.1. The demand forecasts shown in Table represent Leisure Airs
Question:
a. Because of scheduling conflicts in other markets, suppose that Leisure Air is only able to obtain one Boeing 757-200. Should the larger plane be based in Pittsburgh or in Newark? Explain.
b. Based upon your answer in part (a), determine a new allocation for the ODIFs. Briefly summarize the major differences between the new allocation using one Boeing 757- 200 and the original allocation summarized in Figure.
c. Suppose that two Boeing 757-200 airplanes are available. Determine a new allocation for the ODIFs using the two larger airplanes. Briefly summarize the major differences between the new allocation using two Boeing 757-200 airplanes and the original allocation shown in Figure.
d. Consider the new solution obtained in part (b). Which ODIF has the highest bid price? What is the interpretation for this bid price?
TABLE
MUTUAL FUND PERFORMANCE IN FIVE SELECTED YEARS (USED AS PLANNING SCENARIOS FOR THE NEXT 12MONTHS)
Step by Step Answer:
Quantitative Methods for Business
ISBN: 978-0324651751
11th Edition
Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey cam