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 Business Room Type I $30 $35 — Type II $20 $30 $40 Type I rooms do not have high-speed 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 160 rentals in the Super Saver class, 50 rentals in the Deluxe class, and 40 rentals in the Business class. Round Tree has 100 Type I rooms and 120 Type II rooms. 1. **Use linear programming to determine how many reservations to accept in each rental class and how the reservations should be allocated to room types. Is the demand by any rental class not satisfied? Explain.** If demand materializes as forecast, there will be ___X____ rooms not reserved in the Super Saver class. **2. How many reservations can be accommodated in each rental class? ** Super Saver=X Deluxe=X Business= 40 3. Management is considering offering a free breakfast to anyone upgrading from a Super Saver reservation to Deluxe class. If the cost of the breakfast to Round Tree is $5, should this incentive be offered? Increasing demand for Deluxe class accommodations will increase profit. Since the predicted change in profit is greater than the added cost of the breakfast, the incentive should be offered. 4. **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? Why?** Type I, because this will increase profit by $ ____X____ 5. 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? We would need a forecast of demand for each rental class on the next night to use as the right-hand side of the first three constraints. The questions with the **asterisk marks** are my concern. I have been able to compute answers for the rest of the problem but I have depleted all my resources in searching for an explanation of how one formulates the outcomes for the question's. Much appreciation for all guidance or assistance.
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
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 |
Business |
|||
|
Room |
|
Type I |
$30 |
$35 |
— |
|
|
Type II |
$20 |
$30 |
$40 |
Type I rooms do not have high-speed Internet access and are not available for the Business rental class.
Round Tree's management makes a
1. **Use linear programming to determine how many reservations to accept in each rental class and how the reservations should be allocated to room types. Is the demand by any rental class not satisfied? Explain.**
If demand materializes as forecast, there will be ___X____ rooms not reserved in the Super Saver class.
**2. How many reservations can be accommodated in each rental class? **
Super Saver=X
Deluxe=X
Business= 40
3. Management is considering offering a free breakfast to anyone upgrading from a Super Saver reservation to Deluxe class. If the cost of the breakfast to Round Tree is $5, should this incentive be offered?
Increasing demand for Deluxe class accommodations will increase profit. Since the predicted change in profit is greater than the added cost of the breakfast, the incentive should be offered.
4. **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? Why?**
Type I, because this will increase profit by $ ____X____
5. 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?
We would need a forecast of demand for each rental class on the next night to use as the right-hand side of the first three constraints.
The questions with the **asterisk marks** are my concern. I have been able to compute answers for the rest of the problem but I have depleted all my resources in searching for an explanation of how one formulates the outcomes for the question's. Much appreciation for all guidance or assistance.
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