A family-run inn is considering the use of overbooking, because the frequency of no- shows listed below has left many rooms vacant during the past summer season. An empty room represents an opportunity cost of $69, which is the average room rate. Accommodating an overbooked guest is expensive, however, because the nearby resort rooms average $119 and the inn must pay the difference. What is the optimal level of overbooking

Aproduction line has three machines a, b, and c, with reliabilities of .96, .86, and .85, respectively. the machines are arranged so that if one breaks down, the others must shut down. engineers are weighing two alternative designs for increasing the line’s reliability. plan 1 involves adding an identical backup line, and plan 2 involves providing a backup for each machine. in either case, three machines (a, b, and c) would be used with reliabilities equal to the original three. a. compute overall system reliability under plan 1. (round your intermediate calculations and final answer to 4 decimal places.) reliability b. compute overall system reliability under plan 2. (round your intermediate calculations and final answer to 4 decimal places.) reliability c. which plan will provide the higher reliability? plan2plan1