Conduct Monte Carlo Simulation Using Historical Data and Resampling Techniques

question 37

Multiple Choice

Conduct Monte Carlo simulation using historical data and resampling techniques. Use the information below to answer the following question(s) .
Below is a spreadsheet for a hotel overbooking model. $\begin{array}{|c|c|c|c|l|l|}\hline & \text { A } & \text { B } & \text { C } &{\text { D }} & \text { E } \\\hline 1 & \text { Hotel Overbooking Model } & & & \text { Demand } & \text { Probability } \\\hline 2 & & & & 290 & 0.03 \\\hline 3 & \text { Data } & & & 295 & 0.05 \\\hline 4 & & && 300 & 0.08 \\\hline 5 & \text { Rooms av ailable } & 350 && 305 & 0.12 \\\hline 6 & \text { Price } & \$ 120 & & 310 & 0.15 \\\hline 7 & \text { Overbooking cost } & \$ 100 && 315 & 0.20 \\\hline 8 && & & 320 & 0.15 \\\hline 9 & \text { Model } & & & 325 & 0.10 \\\hline 10 & & & & 330 & 0.05 \\\hline 11 & \text { Reserv ation limit } & 350 && 335 & 0.04 \\\hline 12 & \text { Customer demand } & 320 && 340 & 0.02 \\\hline 13 & \text { Reservations made } & & &345 & 0.01 \\\hline 14 & \text { Cancellations } & 15 \\\hline 15 & \text { Customer arrivals } & \\\hline 16 & & \\\hline 17 & \text { Overbooked customers } & \\\hline 18 & \text { Net revenue } & \\\hline\end{array}$ Assume that each reservation has a constant probability p = 0.04 of being cancelled. Answer the question(s) using the Risk Solver Platform.
-Which of the following cells is defined as an output cell?

• A) B13
• B) B14
• C) B15
• D) B17

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Definitions:

Homosexual Behavior

relates to sexual activities between individuals of the same sex.

Psychodynamic Perspective

An approach in psychology which emphasizes the systematic study of the psychological forces underlying human behavior, feelings, and emotions and how they might relate to early experience.

Neuroscience

The scientific study of the nervous system, including its structure, functions, and abnormalities, to understand the biological bases of behavior and cognition.

Abnormal Brain Chemistry

Imbalances or disruptions in the neurotransmitters and chemicals in the brain, which can affect mood, behavior, and cognition.