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Swiftcar Rental Company is a local rental car company that serves the Ontario area. The management team has identified the optimal booking schedule for
Swiftcar Rental Company is a local rental car company that serves the Ontario area. The management team has identified the optimal booking schedule for weekends (i.e., from Friday to Sunday) through an optimization model. In total, Swiftcar Rental Company has 250 full-size sedans, and all sedans are available for weekends (i.e., the capacity for Friday, Saturday, and Sunday will be 250 for each and every day.) The rental prices for Friday, Saturday, and Sunday are $79, $49, and $39 respectively. If a consumer asks for two-consecutive-day booking, then this customer will receive a 10% discount on the total price. For three- consecutive-day booking, the discount will be 30% over the total price. Particularly, the demands all booking periods are 155, 112, 98, 155, 135, and 207 respectively for Friday only, Saturday only, Sunday only, Friday- Saturday, Saturday-Sunday, and Friday-Saturday-Sunday. a. (5 points) Swiftcar Rental Company builds an optimization model and uses the Excel Solver to identify the optimal booking schedule for weekends. The corresponding sensitivity report is given by the following table: Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease Friday capacity 250 66.2 250 20 20 78 $I$21 constraint Saturday capacity 250 49 250 22 92 20 20
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