Determine the probability that full-fare demand f


In recent weeks UA Airlines' LAX ? LAS flight has departed Los Angeles with more empty coach seats than expected. UA operates a 95 passenger B-737/100 on this route. The regular unrestricted one-way coach fare is $89. UA updated forecast indicates that the average demand for this flight (at the $89 fare) has dropped to 60 passengers. To better utilize its capacity, UA plans to introduce a "gambler's special" fare of only $49. The fare will have an advance purchase restriction.

Determine the probability that full-fare demand F is less than X*, the ideal number of seats that should be set aside for full fare passengers (or alternatively, the probability that some full-fare seats on the gambler's special are unsold at departure time.)

 

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Basic Statistics: Determine the probability that full-fare demand f
Reference No:- TGS0113365

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