Find the distribution of profit for a unit price of $500. Use the Decision Table tool to find the best price between $400 and $600 in steps of $25.

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For the Airline Pricing Model in Chapter 9, suppose that the fixed cost is triangular with a minimum of $80,000, most likely value of $90,000, and maximum value of $95,000. Also assume that the values of the slope and intercept in the demand function are uniformly distributed plus or minus 5% around their current values. Find the distribution of profit for a unit price of $500. Use the Decision Table tool to find the best price between $400 and $600 in steps of $25.

 

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