Test 3 Excel - Demand revenue price space required for one unit spot market price discount rate 75000 $6 1.96 $1.40 0.2 Period 1 Demand spot market

Test 3 Excel - Demand revenue price space required for...

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Demand 75000 revenue price $6 space required for one unit 1.96 spot market price $1.40 discount rate 0.2 Period 1 Demand 75000 spot market price $1.40 profit $244,200.00 expected profit $253,812.02 net present value 211510.0175 Total expected profit $455,710.02
Period 2 case 1 Demand increases stock price increases probability 0.45 Demand 84750 spot market price $1.53 profit $255,016.14 case 2 Demand increases stock price decreases probability 0.3 Demand 84750 spot market price $1.36 profit $282,922.62 case 3 Demand decreases stock price increases probability 0.15 Demand 69000 spot market price $1.53 profit $207,623.76 case 4 Demand decreases stock price decreses probability 0.1 demand 69000 spot market price $1.36 profit $230,344.08
Demand 75000 spot market price $1.40 space required for each unit 1.69 product sales price $7 Discount rate 0.15 Period 1 Demand 75000 Spot market price $1.40 Profit $347,550.00 Expected Profit $366,454.63 Net Present value $318,656.20 Total expected profit $666,206.20
Period 2 Case1 Demand increases Spot price increases Probability 0.45 Demand 84750 Spot market price $1.53 Profit $374,684.84 case 2 Demand increases Spot price decreases Probability 0.3 Demand 84750 Spot market price $1.36 Profit $398,747.06 case 3 Demand decreases Spot price increases Probability 0.15 Demand 69000 Spot market price $1.53 Profit $305,053.14 case 4 Demand decreases spot price decreases Probability 0.1 Demand 69000 Spot market price $1.36 Profit $324,643.62
Demand 450 D(L) 900 ss/stddev(L)

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