Spreadsheet Modeling and Decision Analysis: A Practical Introduction to Business Analytics
7th Edition
ISBN: 9781285418681
Author: Cliff Ragsdale
Publisher: Cengage Learning
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Chapter 4, Problem 8QP
Summary Introduction
To determine: The sensitivity report using solver.
a)
Summary Introduction
To determine: The change in the optimal solution when the profit of Bike R decreased to $35.
b)
Summary Introduction
To determine: The change in the optimal solution when the profit of Bike Z decreased to $35.
c)
Summary Introduction
To interpret: The shadow price for the supply of polymer.
d)
Summary Introduction
To determine: The justification for the given statement.
e)
Summary Introduction
To determine: The new optimal level of profit for the given condition.
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Suppose the equilibrium price for good quality used cars is $20,000. And the equilibrium price for poor quality used cars is $10,000. Assume a potential used car buyer has imperfect information as to the condition of any given used car. Assume this potential buyer believes the probability a given used car is good quality is .60 and the probability a given used car is low quality is .40. Assume the seller has perfect information on all cars in inventory.
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Chapter 4 Solutions
Spreadsheet Modeling and Decision Analysis: A Practical Introduction to Business Analytics
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