Scenario 16.4 - Santorini Donkeys

question 87

Multiple Choice

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.
-Once a local donkey herder learns of the cruise line's plan,he lowers his donkey rental price to $17.50 per tourist.How many donkeys should be in the cruise line's herd?

• A)7,264
• B)6,684
• C)6,711
• D)6,797

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