Hervis Rent-A-Car has three car rental locations in the greater Houston area: the Northside branch, the West
Question:
Hervis Rent-A-Car has three car rental locations in the greater Houston area: the Northside branch, the West End branch, and the Suburban branch. Customers can rent a car at any of these places and return it to any of the others without any additional fees.
However, this can create a problem for Hervis if too many cars are taken to the popular Northside branch.
For planning purposes, Hervis would like to predict where the cars will eventually be. Past data indicate that 80% of the cars rented at the Northside branch will be returned there, and the rest will be evenly distributed between the other two. For the West End branch, about 70% of the cars rented there will be returned there, 20% will be returned to the Northside branch, and the rest will go to the Suburban branch.
Of the cars rented at the Suburban branch, 60% are returned there, 25% are returned to the Northside branch, and the other 15% are dropped off at the West End branch. If there are currently 100 cars being rented from the Northside branch, 80 from the West End branch, and 60 from the Suburban branch, how many of these will be dropped off at each of the car rental locations?
Step by Step Answer:
Quantitative Analysis For Management
ISBN: 9781292217659
13th Global Edition
Authors: Barry Render, Ralph M. Stair, Michael Hanna, Trevor Hale