BlueSky operates Flight 97, a nonstop flight from JFK to Salt Lake City that departs at 9:30 p.m. For this route they fly an Airbus A320 that can carry 146 passengers. On the airplane, all seats are economy-class (there is no business or 1st-class), and the marginal cost of each additional passenger in these seats is negligible. All passengers on Flight 97 purchase one-way tickets on that flight alone, and therefore are not connecting from other flights operated by BlueSky. The airline has constructed a two-tier fare structure for this flight: Advance purchase tickets (i.e., nonrefundable tickets purchased at least 14 days in advance) cost $114 one-way. Full-fare refundable tickets purchased at any time cost $174. There is heavy demand for advance purchase tickets, so BlueSky could sell out the aircraft with these discount passengers. Therefore, BlueSky's revenue management system may need to protect a certain number of seats for full-fare tickets. On March 5, 2007, BlueSky is setting its booking limits for the week of March 19, 2007 through March 25, 2007. To make these decisions, BlueSky's revenue managers have collected the daily demand for fullfare tickets over the previous 12 months. Note that these are estimates of actual demand, not the number of tickets sold. These data are available in BlueSky Single-Leg A demand.xls. 1 Find the optimal (revenue-maximizing) protection level for full-fare seats and the optimal booking limit for economy-class seats for each day of the week beginning on March 19. You should find seven protection levels and seven booking limits, the best possible pair for each day of that week. You may want to use a simple formula to calculate the protection level (see, for example, the end of 5 of Netessine and Shumsky 20022) Think carefully, however, about how you use the historical data to estimate F Q, the distribution of demand for full-fare tickets.