Question: How do I solve the below problem using solver in excel? A student is concerned about her car and does not like dents. When she
How do I solve the below problem using solver in excel?
A student is concerned about her car and does not like dents. When she drives to school, she has a choice of parking it on the street in one space, parking it on the street and taking up two spaces, and parking it in the lot. If she parks on the street in one space, her car gets dented with probability 1/10. If she parks on the street and takes two spaces, the probability of dent is 1/50 and the probability of a $15 ticket is 3/10. Parking in a lot costs $5, but the car will not be dented. If the car gets dented, she can have it repaired, in which case it will be out of commission for 1 day and costs her $50 in fees and cab fare. She can also drive her car dented, but she feels that the resulting loss of value and pride is equivalent to a cost of $9 per school day. She wishes to determine the optimal policy for where to park and whether to repair the car when dented to minimize the total costs over 3 days (or 10 days if you are writing code). Assume on the third day, if dented she gets it repaired for $50, if not dented it costs her $0.
Hint: State could be dented or not dented. Meaning you must find the optimal solution in time 1, when car is dented and when it is not dented
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