Use the Case Below to Answer the Following Question(s)

question 5

Multiple Choice

Use the case below to answer the following question(s) .
The Tipton Hotel is considering a major remodeling effort and needs to determine the best combination of rates and suite sizes to maximize revenues.Currently,the hotel has 755 suites with the following history: Each market segment has its own price/demand elasticity.Estimates are: This means,for example,that a 1% decrease in the price of a standard suite will increase the number of suites sold by 1.5%.Similarly,a 1% increase in the price will decrease the number of suites sold by 1.5%.For any pricing structure (in $) ,the projected number of suites of a given type sold (we will allow continuous values for this problem) can be found using the formula:
(Historical average number of suites sold) + (Elasticity) (New price - Current price) (Historical average number of suites sold) /(Current price)
The hotel owners want to keep the price of a standard suite between $70 and $90; a gold suite between $90 and $110; and a platinum suite between $120 and $149.
Define S = price of a standard suite,G = price of a gold suite,and P = price of a platinum suite.
-The constraint that models the stated price range of a standard suite is ________.

• A)70 ≤ S ≤ 90
• B)90S² - 70S ≥ 0
• C)70S² - 90S ≤ 0
• D)35 ≤ S ≤ 45

---

Definitions:

Pride

A feeling of deep satisfaction derived from one's own achievements, the achievements of those with whom one is closely associated, or from qualities or possessions that are widely admired.

Disgust

A feeling of intense disgust or aversion triggered by something seen as repulsive or disagreeable.

Joy

Joy is a feeling of great pleasure and happiness, often arising from a sense of well-being or fulfillment.

Prefrontal Cortex

The part of the brain located at the front of the frontal lobe, associated with complex cognitive behavior, personality expression, decision making, and moderating social behavior.