Analyze the simulation​ model, with 50​ trials, for Koehler Vision Associates​ (KVA) with the following assumptions.



     Analyze the simulation​ model, with 50​ trials, for Koehler Vision Associates​ (KVA) with the following assumptions. Assume that the no show rate is uniform, between​ 10% and​ 20% of prospective patients fail to show up or cancel their exam at the last minute. A $250 charge is applied as a deposit for the actual procedure. Patients that do not show up are refunded the charged fee less a $25 processing fee. KVA can handle 125 patients per week and is considering overbooking its appointments to reduce the lost revenue associated with cancellations. However, any patient that is overbooked may spread unfavorable comments about the company; thus, the overbooking cost is estimated to be $125. Determine the averages for the net profit​ (revenue less overbooking​ costs) and number overbooked for taking appointments between 130 and 150 patients in increments of 2. What would you​ recommend?

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