What capacity requirement be planned if demand is increase


An airline company must plan its fleet capacity and its long-term schedule of aircraft usage. For on flight segment, the average number of customers per day is 70, which represents a 65 percent utilization rate of the equipment assigned to the flight segment. If demand is expected to increase to 84 customers for the flight segment in three years, what capacity requirement should be planned? Assume that the management deems that a capacity cushion of 25 percent is appropriate.

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Operation Management: What capacity requirement be planned if demand is increase
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