Question: Round Tree Manor is a hotel that provides two types of rooms with three rental classes: Super Saver, Deluxe, and Business. The profit per night
Round Tree Manor is a hotel that provides two types of rooms with three rental classes: Super Saver, Deluxe, and Business. The profit per night for each type of room and rental class is as follows:
Rental Class
Super Saver Deluxe Busines
Room Type I $25 $30
Type II $20 $30 $40
Type I rooms do not have high-speed wireless Internet access and are not available for the Business rental class. Round Tree's management makes a forecast of the demand by rental class for each night in the future. A linear programming model developed to maximize profit is used to determine how many reservations to accept for each rental class. The demand forecast for a particular night is 120 rentals in the Super Saver class, 55 in the Deluxe class, and 50 in the Business class. Round Tree has 90 Type I rooms and 120 Type II rooms.
| (a) | Formulate and solve a linear program to determine how many reservations to accept in each rental class and how the reservations should be allocated to room types. | ||||||||||||
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| (b) | For the solution in part (a), how many reservations can be accommodated in each rental class? | ||||||||||||
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| Demand for | |||||||||||||
| rental class was not satisfied. | |||||||||||||
| (c) | With a little work, an unused office area could be converted to a rental room. If the conversion cost is the same for both types of rooms, would you recommend converting the office to a Type I or a Type II room? | ||||||||||||
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| Convert an unused office area to | |||||||||||||
| room. | |||||||||||||
| Explain. | |||||||||||||
| The input in the box below will not be graded, but may be reviewed and considered by your instructor. | |||||||||||||
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| (d) | Could the linear programming model be modified to plan for the allocation of rental demand for the next night? | ||||||||||||
| What information would be needed and how would the model change? Explain. |
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