The owner of Sal's Italian Restaurant wants to study the growth of his business using simulation....

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The owner of Sal's Italian Restaurant wants to study the growth of his business using simulation. He is interested in simulating the number of customers and the amount ordered by customers each month. He currently serves 1000 customers per month and feels this can vary uniformly between a decrease of as much as 5% and an increase of up to 9%. The bill for each customer is a normally distributed random variable with a mean of $20 and a standard deviation of $5. The average order has been increasing steadily over the years and the owner expects the mean order will increase by 2% per month. You have created the following spreadsheet to simulate the problem. A Initial Conditions: 2 Number of Customers: 1000 3 Average Bilt: $20 Number of Avg Bll Total Month Customers Revenue 1014.80 $17 $17,703 106454 $23 524.645 10 3 1054.23 $24 $24,904 11 1114.73 $31 $35.001 12 1208.94 $25 $29.947 13 1310.42 $16 $21.202 14 1352.23 $24 $32.983 15 1336.12 $31 $40,851 16 1412.07 $22 $30.548 17 10 1444.66 $28 $40.292 18 11 1462.64 $31 $44.899 19 12 1539.91 $26 $39.695 20 21 Income $382.670 SAL'S MODEL G. H. 1 Assumptions: 2 Max Decrease Max Increase: Std Dev SK 9% Uniform Mthl Increase 2% Normal 4. Constant 9. 6. 10 11 12 13 14 15 16 17 18 19 20 21 The spreadsheet model for Sal, from Exhibit 12.5, has been run 300 times to produce the following output. What is the best case scenario for Sal based on this output? Simulation Statistics Name Description Cell Minimum= Maximum= Mean= Std Deviation= Income/Revenue Output D21 211786.92 435002.74 419518.91 33831.44 The owner of Sal's Italian Restaurant wants to study the growth of his business using simulation. He is interested in simulating the number of customers and the amount ordered by customers each month. He currently serves 1000 customers per month and feels this can vary uniformly between a decrease of as much as 5% and an increase of up to 9%. The bill for each customer is a normally distributed random variable with a mean of $20 and a standard deviation of $5. The average order has been increasing steadily over the years and the owner expects the mean order will increase by 2% per month. You have created the following spreadsheet to simulate the problem. A Initial Conditions: 2 Number of Customers: 1000 3 Average Bilt: $20 Number of Avg Bll Total Month Customers Revenue 1014.80 $17 $17,703 106454 $23 524.645 10 3 1054.23 $24 $24,904 11 1114.73 $31 $35.001 12 1208.94 $25 $29.947 13 1310.42 $16 $21.202 14 1352.23 $24 $32.983 15 1336.12 $31 $40,851 16 1412.07 $22 $30.548 17 10 1444.66 $28 $40.292 18 11 1462.64 $31 $44.899 19 12 1539.91 $26 $39.695 20 21 Income $382.670 SAL'S MODEL G. H. 1 Assumptions: 2 Max Decrease Max Increase: Std Dev SK 9% Uniform Mthl Increase 2% Normal 4. Constant 9. 6. 10 11 12 13 14 15 16 17 18 19 20 21 The spreadsheet model for Sal, from Exhibit 12.5, has been run 300 times to produce the following output. What is the best case scenario for Sal based on this output? Simulation Statistics Name Description Cell Minimum= Maximum= Mean= Std Deviation= Income/Revenue Output D21 211786.92 435002.74 419518.91 33831.44

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Given that Average meal price 20 SD of meal price 5 The current number of customers vary from 095 to ... View the full answer