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Scenario 16.4 - Santorini Donkeys

question 17

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Scenario 16.4 - Santorini Donkeys
Sturdy little donkeys are used to carry corpulent tourists up the Santorini caldera to the town of Fira.One cruise line that routinely docks at the port is considering a plan to maintain their own donkey herd,which will cost them $15,000 per thousand tourists.The number of tourists needing this service is normally distributed,with a mean of 10,000 and a standard deviation of 3,000.Usually,this is enough donkey capacity,but occasionally the cruise line rotates a bigger ship through this route and the excursion director must purchase donkey capacity on the spot market,where is costs $20 per tourist.
-The cruise line's insurance policy limits the number of donkeys in their herd to 5,000.What bulk price should the cruise line negotiate to make the 5,000 donkey herd size optimal?


Definitions:

Shift Signal Valves

Hydraulic valves in an automatic transmission that regulate the flow of transmission fluid to engage different gears based on speed and load.

Forward Ratios

The gear ratios in a transmission that provide forward motion, influencing the vehicle's speed and acceleration.

Caterpillar CX28

A model of automatic transmission designed by Caterpillar, specifically developed for use in heavy-duty vehicles and equipment.

Continuously Variable

Describes transmissions that can change seamlessly through an infinite number of effective gear ratios, providing smooth acceleration.

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