How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask linda_us Your Own Question

linda_us
linda_us, Master's Degree
Category: Business and Finance Homework
Satisfied Customers: 825
Experience:  A tutor for Business, Finance, Accounts and other related topics.
19873544
Type Your Business and Finance Homework Question Here...
linda_us is online now
A new question is answered every 9 seconds

Include supporting

Customer Question

Attachment: 2013-10-08_140758_jab.docx


 


 


Include supporting calculations and screenshots.


Henry Clements is a friend of yours who has a car rental agency in a major metropolitan area. Although his is an independent company, Henry works closely with three other independent companies in the metro area. They share information and each week they forecast the number of cars each will need the following week. Then, if needed, they will transfer cars between location on Sunday when none of the agencies are open. If they have to go and get a car during the week, it will cost $75 per car, considering the lost time and good will of making the customer wait. Moving on Sunday gives the customer the option to return the car to any of the four locations and it has allowed Henry and the other agencies access to extra cars to meet their needs. Everyone is happy with this arrangement.


Henry reviewed his company’s performance and he believes there is room for improvement. He has obtained records for the last three months. The data he collected are shown below. It is Friday and he has to input his forecast for the number of cars needed tomorrow. He knows you have been taking a class in Quantitative Analysis and has asked you to review his data and help with his forecast to determine what else he might to do increase his performance. As you discuss the situation with him, you learn that he wants to be able to meet the customers’ requirement for a vehicle 95% of the time. He says he rarely ever gets complaints if the exact model is not available, as long as he has a vehicle available, so he does not try to anticipate particular size or model requests and lets randomness take care of that. Weekly demand is as follows:


 
















































Week



Demand



Week



Demand



1



126



7



243



2



200



8



167



3



243



9



131



4



167



10



208



5



132



11



251



6



211



12



171



 


In the past Henry has used the average number of cars as his basic number and adjusted to meet his goal of 95% service. He asks you about some other methods he has heard about.


 


1. What should his forecast be using this method?


2. What would the forecast be if he used regression analysis?


3. What about time-series forecasting?


4. What will you tell him about which is the best option?


 


Henry has two people who can check cars out for a rental. One works at the service counter and the other works in the office and can come out to help if needed. Henry has determined that people arrive following a Poisson distribution. Rentals average about 24 per day and the service person takes about 15 minutes to process a customer for a rental. Henry sees that the agent at the service counter in not busy all the time so he is contemplating not keeping the office person trained and leaving only the service counter person.


 


5. Is this a wise move?


6. What is the average time the customer takes from when he/she arrives until he/she has a car?


 


Currently, when the office person in serving customers, a second line forms in front of the counter.


 


7. Is that how Henry should set up the waiting area or is there a better way?


 


When a car is returned to his location, Henry has three employees who prepare the car for the next rental. As a car arrives, one of the employees takes the car and washes, cleans, vacuums, and inspects it, prepares the paperwork for the next rental, and returns the car to the lot. The employees each take a car in sequence. Henry has observed the process and has observed the time each takes to complete each step. The information about the times (in minutes) is as follow:


 






























Employees



Wash



Vacuum



Inspect & Return



Beverly



22



13



11



Cameron



15



17



20



Tina



19



19



14



 


 


8. Is there is a better way to organize this part of the operations?


 


Each rental requires two agreement forms, one for when the car is checked out and one when it is checked in. Henry orders these forms from a local printer. The printer charges Henry $40 to set up the printer. The forms cost 50cents each. Because of the damage to the forms and the forms becoming obsolete, it cost Henry 25% to store the forms. The printer will only accept orders in multiples of 100.


 


9. If the three months of data collected and presented above is indicative of all demand, how many forms should Henry order?


 


The printer offers Henry a 10% discount if Henry orders 5000 or more form at a time.


 


10. Would this be advantageous to Henry? How much money would it save, if any?


 


Henry is now ready compute what do with the cars on Sunday. The other locations report the following on-hand and needed cars. Henry will have 150 cars on-hand Saturday night.


Location


 























             Location North



       Location East



 Location South



On-hand



165



160



200



Needed



195



160



190



 


Based on past experience, the cost to move cars is:


 









































Between



And



Cost



Henry



Location North



$12



Henry



Location East



$22



Henry



Location South



$17



Location North



Location East



$7



Location North



Location South



$28



Location East



Location South



$14



 


11. How many cars will need to be moved and what will the total cost of the move be?


12. Based on all the above computations, what would you recommend to Henry about his operation and what changes would you propose (if any)?

Submitted: 1 year ago.
Category: Business and Finance Homework
Expert:  Josie-Mod replied 1 year ago.

Hello,

I'm Josie and I'm a moderator for this topic.

We have been working with our professionals to try to help you with your question. Sometimes it may take a bit of time to find the right fit.

I was checking to see if you had already found your answer or if you still need assistance from one of our professionals.

Please let me know if you wish to continue waiting or if you would like for us to close your question?

Also remember that JustAnswer has a multitude of categories to help you with all your needs from Pet to Legal.

Thank you,

Josie~Moderator

Customer: replied 1 year ago.

Hi yes I still need assistance

Expert:  Josie-Mod replied 1 year ago.
Hello

Thank you, XXXXX XXXXX continue to look for a professional to assist you. Please let me know if I can be of any further assistance while you wait.

Best,
Josie~Moderator
Customer: replied 1 year ago.

Hi i need to know if someone will be able to help me or not today. I need the solution tomorrow Thanks for your time

Expert:  Angela--Mod replied 1 year ago.

Thank you for your patience while we continue to search for a professional to assist you.

I have marked your question high priority and you’ll receive an email notification as soon as you have a new reply.

Customer: replied 1 year ago.

Thank you

Customer: replied 1 year ago.

??? Why is it taking so long is someone going to answer the solution??

Expert:  Mr. Gregory White replied 1 year ago.

Hello, my name isXXXXX for visiting Just Answer.

Sorry for the long delay. Many experts have reviewed your question so far, but no one at this time has felt comfortable trying to help. The question may be just to difficult or not informative enough or priced to low.

Has the deadline passed for this project or do you still have time left to complete - if so, what is the deadline?

If you would like one of the professionals to try and help, is there anything else you can add to your original post giving me more details. You can upload any files using the paper clip icon in the tool bar here at JustAnswer or by using a file sharing site like mediafire.com or box.com and sharing the link here. We may not be able to answer all of the components of your question but possibly some of them.


All the best in your studies and have a wonderful week.

:-)

Customer: replied 1 year ago.

How would I go about getting my money back?

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
< Last | Next >
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin Kernersville, NC
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther Woodstock, NY
  • Thank you so much for taking your time and knowledge to support my concerns. Not only did you answer my questions, you even took it a step further with replying with more pertinent information I needed to know. Robin Elkton, Maryland
  • He answered my question promptly and gave me accurate, detailed information. If all of your experts are half as good, you have a great thing going here. Diane Dallas, TX
 
 
 

Meet The Experts:

 
 
 
  • linda_us

    Master's Degree

    Satisfied Customers:

    805
    A tutor for Business, Finance, Accounts and other related topics.
< Last | Next >
  • http://ww2.justanswer.com/uploads/LI/lindaus/2012-6-10_04811_IMG20120609164157.64x64.jpg linda_us's Avatar

    linda_us

    Master's Degree

    Satisfied Customers:

    805
    A tutor for Business, Finance, Accounts and other related topics.
  • http://ww2.justanswer.com/uploads/JawaadAhmed/2009-6-27_12137_SIs_SHadi.jpg F. Naz's Avatar

    F. Naz

    Bachelor's Degree

    Satisfied Customers:

    355
    Have completed B.COM and CA Finalist
  • http://ww2.justanswer.com/uploads/JK/jkcpa/2011-1-16_182614_jkcpa.64x64.jpg Bizhelp's Avatar

    Bizhelp

    Accountant

    Satisfied Customers:

    257
    BA degree and Certified Public Accountant
  • http://ww2.justanswer.com/uploads/ED/educatortech/2012-6-7_1256_williams4.64x64.jpg Mr. Gregory White's Avatar

    Mr. Gregory White

    Master's Degree

    Satisfied Customers:

    197
    M.A., M.S. Education / Educational Administration
  • http://ww2.justanswer.com/uploads/FL/FLAandNYLawyer/2012-1-27_14349_3Fotolia25855429M.64x64.jpg FiveStarLaw's Avatar

    FiveStarLaw

    Lawyer, Accountant & Researcher

    Satisfied Customers:

    161
    25 years of experience helping people like you.
  • http://ww2.justanswer.com/uploads/BF/bfc77usa/2011-5-11_42346_face.64x64.jpg Alex's Avatar

    Alex

    Bachelor's Degree

    Satisfied Customers:

    144
    BS in Business Administration with honors. Able to assist in many business related courses.
  • http://ww2.justanswer.com/uploads/BR/brittanyshock1/2012-6-16_174743_JAphoto.64x64.jpg Brittany's Avatar

    Brittany

    Professional

    Satisfied Customers:

    28
    AA/Accounting BS/Business
 
 
 

Related Business and Finance Homework Questions

Chat Now With A Business Tutor
linda_us
linda_us
825 Satisfied Customers
A tutor for Business, Finance, Accounts and other related topics.