Course Solutions Uncategorized (Answered) : A hotel has 300 rooms. The regular price is $1200 and the one-week advance booking rate is $800. There is ample demand for advance

(Answered) : A hotel has 300 rooms. The regular price is $1200 and the one-week advance booking rate is $800. There is ample demand for advance

A hotel has 300 rooms. The regular price is $1200 and the one-week advance booking rate is $800. There is ample demand for advanced booking but demand for regular price room is random. Assume the demand for the regular price room is normally distributed with mean 100 and standard deviation of 50. What is the optimal maximum number of rooms the hotel should sell one week before the check-in date?

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