Question
Your hair care professional has scheduling challenges. She can perform a maximum of fifteen (15) jobs a day. However for two months of the year
Your hair care professional has scheduling challenges. She can perform a maximum of fifteen (15) jobs a day. However for two months of the year she has an average of twenty five (25) jobs and for four other twenty (20) jobs, in each case the excess customers have to be turned back. For the rest of the year the hair care professional gets six (6) jobs for four months and nine (9) for the other two months. A friend of hers provided her with a proposal, with two (2) additional options, which she is studying. An extract from the proposal is presented below:
Average regular price of hair care: $70
No. of working days per month: 20
Option 2
Maintain the present rate for the six (6) high months.
Proposed rate for six (6) low months: $50
Each peak month is expected to see the number of patrons requesting services fall by seven (7) persons a day, while each low month will see a corresponding increase of seven (7) patrons requesting service per day.
Option 3
Rate for the two months with 25 patrons daily: $70
Each of these months will lose 10 patrons a day.
Rate for the four months with 20 patrons daily: $65
Each of these months will lose 6 patrons a day.
Rate for the two months with 9 patrons daily: $55
Each of these months will gain 6 patrons a day.
Rate for the four months with 6 patrons daily: $45
Each of these months will gain 10 patrons a day.
Based on the above information the hair care professional asked you to calculate the yield of the three (3) options, revenue per available day, and advise her.
Calculate the total available days
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