probability

As the owner of a rent-a-car agency you have determined the following
statistics:



Potential Rentals Daily

Probability

Rental Duration

Probability

0

.10

1 day

.50

1

.15

2 days

.30

2

.20

3 days

.15

3

.30

4 days

.05

4

.25







The gross profit is $40 per car per day rented. When there is demand
for a car when none is available there is a goodwill loss of $80 and the
rental is lost. Each day a car is unused costs you $5 per car. Your
firm initially has 4 cars.

Conduct a 10-day simulation of this business using Row #1 below for
demand and Row #2 below for rental length.

Row #1:

.257 .887 .037 .661 .036 .173 .634 .818 .932 .069



Row #2:

.446 .465 .069 .457 .283 .525 .064 .503 .373 .751



You find out that your firm can obtain another car for $200 for 10 days.
Should you take the extra car?

Please help setting up random number and vlookup as well as a detailed
solution to the above questions.