Q5. When high-fare demand is less than their protection level, the Le Meridien assumes rooms go empty because it is too late to sell the rooms to low-fare arrivals. But now they have an opportunity to sell those rooms at the last-minute to a third-party seller of opaque goods, such as hotwire.com or price-line. The third-party seller buys the room inventory on the day at $80 and assumes all the risk of selling those rooms on its website. What critical ratio should the hotel use for setting the protection level for its high fare customer class (who continue to pay $475 per night, and whose demand is still Normally distributed with mean 60 and standard deviation 32) knowing that it now has this opportunity to sell off remaining inventory at the last minute for $80? Early demand at the low fare of $225 remains ample, and Le Meridien still makes this decision to maximize expected revenue