The JET Copies assignment is similar to the Bigelow Manufacturing Company machine breakdown example in the textbook. Hence the example was used as a guide. Days to Repair Simulation Process
In simulating the number of days to repair, first a table was created based on the information given in the Repair time and Probability information table as found in the case. The created table was defined as “Lookup” in the array information for VLookup function in Microsoft Excel. Next, based on the probability information provided, a Cumulative Probability column was generated by adding the probability numbers given (each with the number above it) and distributing the probability to the number of possible repair days from 1-4. For example, a .20 probability corresponds to 2 repair days. Next, simulating the repair times, random numbers were generated in Microsoft Excel, with the VLookup function referencing the “Lookup” table; and based on the range of the random number generated returns the associated number of repair day(s). Interval Between Successive Breakdowns Simulation Process

According to the continuous distribution information provided, interval between successive breakdowns is 0-6 weeks. Based on the Bigelow Manufacturing example, the formula for continuous probability function for the time between breakdowns is f(x) =x/18, 0 < x < 6 weeks. To simulate the interval successive breakdowns, random numbers were generated and the result multiplied by 6 and Square root. This gives the number of weeks between machine breakdowns. Cumulative Time was also generated adding the result of the generated square root and stopping just a bit above 52 weeks for the one year simulation requirement. Lost Revenue Simulation Process

An actual loss number was not provided according to the case. It only gave a range from 2000-8000 copies that they expect to sell per day at 10 cents each. It also indicates using a uniform probability in the same range. Based on this, a random...

...JetCopies Case Study
1. In Excel, use a suitable method for generating the number of days needed to repair the copier, when it is out of service, according to the discrete distribution shown.
2. In Excel, use a suitable method for simulating the interval between successive breakdowns, according to the continuous distribution shown.
3. In Excel, use a suitable method for simulating the lost revenue for each day the copier is out of service.
4. Put all of this together to simulate the lost revenue due to copier breakdowns over 1 year to answer the question asked in the case study.
5. In a word processing program, write a brief description/explanation of how you implemented each component of the model. Write 1-2 paragraphs for each component of the model (days-to-repair; interval between breakdowns; lost revenue; putting it together).
6. Answer the question posed in the case study. How confident are you that this answer is a good one? What are the limits of the study? Write at least one paragraph.
Answers
1.
# of days P(x) Cumulative
1 0.2 0
2 0.45 0.2
3 0.25 0.65
4 0.1 0.9
Q: 2-4.
Break Random times b/w Random Repair Random Lost cumulative
down # 1 Break (weeks) # 2 Time #3 Revenue time
1 0.78468 5.314929 0.88991 3 2237 $6,711 5.314929
2 0.512227 4.294201 0.831365 2 3244 $6,488 9.60913
3 0.389251 3.743399 0.912647 2 5874 $11,748 13.35253
4 0.998082 5.994243 0.216353 1 3330 $3,330 19.34677
5 0.963834 5.890502 0.415313 4 5487...

...Read the "JETCopies" Case Problem on pages 678-679 of the text. Using simulation estimate the loss of revenue due to copier breakdown for one year, as follows:
In Excel, use a suitable method for generating the number of days needed to repair the copier, when it is out of service, according to the discrete distribution shown.
In Excel, use a suitable method for simulating the interval between successive breakdowns, according to the continuous distribution shown.
In Excel, use a suitable method for simulating the lost revenue for each day the copier is out of service.
Put all of this together to simulate the lost revenue due to copier breakdowns over 1 year to answer the question asked in the case study.
In a word processing program, write a brief description/explanation of how you implemented each component of the model. Write 1-2 paragraphs for each component of the model (days-to-repair; interval between breakdowns; lost revenue; putting it together).
Answer the question posed in the case study. How confident are you that this answer is a good one? What are the limits of the study? Write at least one paragraph.
There are two deliverables for this Case Problem, the Excel spreadsheet and the written description/explanation. Please submit both of them electronically via the dropbox.Assignment #1: JETCopies Case Problem
Read the "JETCopies" Case...

...JETCopies Problem
The simulation of JetCopies can be done by generating random numbers from given probability distributions. The different steps of this simulation and assumption made are explained below.
1. Simulation for the repair time.
It is given that the repair time follows
Repair Time (days) Probability
1. .20
2. .45
3. .25
4. .10
-----
1.00
To generate a random number from the above distribution, we use the following procedure.
Generate a random number denoted by r2 from between 0 and 1. If this generated random number is less than or equal to 0.2 take repair time = 1. If the generated random number is 0.2 to 0.65, we take repair time =2. If the generated random number is 0.65 to 0.90, we take repair time = 3 and take 4 otherwise.
2. Simulation for break-down Distribution
Given that the probability distributions of random variable X representing the time between break-downs varies from 0 to 6 weeks with probability increasing continuously, the copier went without breaking down can be approximated by the probability distribution
f(x) =x/18 0 < x < 6
Hence the distribution function of x is
F(x)=x2/36 0 < x < 6
If r1 is another random number generated between 0 and 1, then we can write
r1= x2/36
Hence x=6[pic]
Therefore to simulate...

...
Assignment 3: Long-Term Investment Decisions
March 9, 2014
Managerial Economics and Globalization ECO 550
Capital Budgeting Decisions
Introduction
A low calorie food or a healthy option of food is a new concept, which has gained a lot of interest in the recent times. In the previous assignment, we had discussed the background and the introduction of the company, which wants to cater to this segment. This paper will discuss the long-term capital budgeting decisions that such a company needs to make.
Online a plan those managers in the low-calorie microwavable food company could follow when selecting pricing strategies for making their products as inelastic as possible.
The company aims to keep the prices of its products as inelastic as possible. This means that the pricing strategy should have no impact on the way the consumers perceive and buy such products. Generally we see such demand only in situations in which the good or services are indispensable and the consumers cannot do without those. However, this is not the case for microwavable food products. There is competition in the market to keep the prices under check. Hence, the company needs to do two things to make its prices inelastic-
First of all the company needs to spend money on the R&D efforts to differentiate its products from the rest of the players. This differentiation depends on the core product, advisory service that comes along with the product, packing,...

...JETCopies Problem
Lost revenue of JetCopies due to breakdown can be done by generating random numbers from different probability distributions according the given probability law. The different steps of this simulation and assumption made are explained below.
1. Simulation for the repair time.
It is given that the repair time follows
|Repair Time (days) |Probability |
|1 |0.2 |
|2 |0.45 |
|3 |0.25 |
|4 |0.10 |
To generate a random number from the above distribution, we use the following procedure.
Generate a random number denoted by r2 from between 0 and 1. If this generated random number is less than or equal to 0.2 take repair time = 1. If the generated random number is 0.2 to 0.65, we take repair time =2. If the generated random number is 0.65 to 0.90, we take repair time = 3 and take 4 otherwise.
2. Simulation for break-down Distribution
Given that the probability distributions of random variable X representing the time between break-downs varies from 0 to 6 weeks with...

...Assignment #1: JETCopies Case Problem
Read the “JETCopies” Case Problem on pages 678-679 of the text. Using simulation estimate the loss of revenue due to copier breakdown for one year, as follows:
1. In Excel, use a suitable method for generating the number of days needed to repair the copier, when it is out of service, according to the discrete distribution shown.
2. In Excel, use a suitable method for simulating the interval between successive breakdowns, according to the continuous distribution shown.
3. In Excel, use a suitable method for simulating the lost revenue for each day the copier is out of service.
4. Put all of this together to simulate the lost revenue due to copier breakdowns over 1 year to answer the question asked in the case study.
5. In a word processing program, write a brief description/explanation of how you implemented each component of the model. Write 1-2 paragraphs for each component of the model (days-to-repair; interval between breakdowns; lost revenue; putting it together).
6. Answer the question posed in the case study. How confident are you that this answer is a good one? What are the limits of the study? Write at least one paragraph.
Case Problem
James Banks was standing in line next to Robin Cole at Klecko’s Copy Center, waiting to use one of the copy machines. “ Gee, Robin, I hate this,” he said. “We have...

...Running Head: JETCOPIES CASE
JETCopies Case
Math 540
Winter 2013
JETCopies Case
Introduction
Before starting the case, it is important to know how this case will be evaluated through excel, the functions and their application, and how they quantifiably accentuate on the variables and known possibilities of the case. The major functions that are used in this particular case are RANDBETWEEN and SQRT in order to identify the relationship of how they simulate and validate the confidence in the results.
RANDBETWEEN & EXCEL
Excel is an excellent application, which has many functions not only of mathematical calculations, like logic. Most people see it as a "challenge", which actually is not. Always bear in mind that Excel is nothing but a game of battleship. This is a set of lines and columns, which are the vessels, and based on the crossing of these lines and columns; seek to achieve the most likely target.
In Excel we have to view the location of each row and column, finding the respective numbers of rows and columns of letters, to achieve the desired end result. I suggest you use it to try to enter their functions, avoid the maximum use of the wizard, it somehow becomes a "settling" deprives us of better assimilate the functions. Typing functions makes it easier to memorize the commands, making the use of the tool faster and more efficient.
Run...

...JetCopies Case Problem
Shelandria Jones
Strayer University
MAT 540-Quantitative Methods
Dr. Raymond Ottinot
February 5, 2013
Introduction
JetCopies is a business venture of a couple of young men who had the insight to open up a copy business. James Ernie and Terri received a loan from Terri’s parents of $18,000. Due to information they have received the large copier they purchased has a history of breakdowns often for a few days. So the three guys are looking into possibly getting a smaller copier. The purchase of the smaller copier can be used while the other larger copier is being repaired. Before they ask anyone about loaning them any additional money they would like to come up with a simulation to show why the purchase of the smaller copier would be beneficial. The cost of the smaller copier is $12,000.
Breakdowns
I used originally 20 breakdowns but then I ended up going to 13 breakdowns. I then created a list of random numbers. The list of random numbers was figured out in excel with the formula =RAND. Which is depicted by the column r2. After obtaining these random numbers and then using the chart that was provided below I then reviewed my random numbers to see where they fell inline with the repair time day chart. The chart was gathered by Terri from the college of business in which the point was to try and get an understanding how long it would take to get the copier that...