A company that supplies gasoline to a city has recorded the weeklyusage (tons/week) for the past 3 years. The file BA3653GasolineRecord.xlsxcontains this record.(c) In general, the company delivers the demanded gasoline to customersthat store it in their own facilities. However, the company would like toobtain its own storage tanks to better handle variability. The companyhas identified several solutions: a 500 ton, a 1000 ton, a 2000 ton and a3000 ton system, with each tank being proportionately more expensiveas its size grows. Given your predictions and the expected variability,what size of tank would you choose?(d) Reaching the city is sometimes hazardous due to weather conditions.Even with these challenges, the company estimates that the most thatshipments to the city may be delayed is 1 week. Given this information,which tank choice (of those in part c) do you think would be appropriate?weekdemand (tons)11174.521316.23119741127.351193.161260.771378.281273.791366.4101113111177.7121056131291.2141269.1151289.6161181171249181212191286.2201204.8211266.2221332.4231236.3241266.1251415.3261100.1271208.1281505.1291282.7301190.5311152.8321089.7331404.7341308.6351255.4361106.7371484.6381317.4391294.7401154411449.9421174.9431466.9441282.4451228461174471196.2481443.8491309.1501250.8511222.8521409.9531147.3541342.7551220.3561211571293.3581256.6591303.2601204.9611129.1621481.5631230.2641264.165953.7661248.9671172.2681253.5691393.7701245.271995.8721211731319.4741282.2751257.5761309.5771153.7781148.4791346.8801298.2811294.8821387.5831119.3841195.8851364.7861107.9871259881155.9891288.9901098.7911293.5921289.6931442.4941233.1951133.7961151.5971120.5981401.39912731001176.11011204.51021238.31031282.410412051051316.51061184.51071309.21081362.81091174.71101258.51111290.11121188.11131097.911412841151256.511612911171131.51181139.71191323.81201285.91211214.11221164.51231405.41241352.71251305.11261162.21271217.11281348.41291410.813013261311349.51321370.51331293.51341266.41351271.71361099.91371295.71381254.51391219.71401222.51411296.81421271.31431349.51441303.91451254.2146980.51471348.81481407.214912981501205.41511401.9152903.21531139.31541182.41551349.71561411.7

Find the answers below: Previous Calculation: Option c: Based on the forecasting…

Answered: A company that supplies gasoline to a…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

A company that supplies gasoline to a city has recorded the weekly
usage (tons/week) for the past 3 years. The file BA3653GasolineRecord.xlsx
contains this record.

(c) In general, the company delivers the demanded gasoline to customers
that store it in their own facilities. However, the company would like to
obtain its own storage tanks to better handle variability. The company
has identified several solutions: a 500 ton, a 1000 ton, a 2000 ton and a
3000 ton system, with each tank being proportionately more expensive
as its size grows. Given your predictions and the expected variability,
what size of tank would you choose?
(d) Reaching the city is sometimes hazardous due to weather conditions.
Even with these challenges, the company estimates that the most that
shipments to the city may be delayed is 1 week. Given this information,
which tank choice (of those in part c) do you think would be appropriate?

week	demand (tons)
1	1174.5
2	1316.2
3	1197
4	1127.3
5	1193.1
6	1260.7
7	1378.2
8	1273.7
9	1366.4
10	1113
11	1177.7
12	1056
13	1291.2
14	1269.1
15	1289.6
16	1181
17	1249
18	1212
19	1286.2
20	1204.8
21	1266.2
22	1332.4
23	1236.3
24	1266.1
25	1415.3
26	1100.1
27	1208.1
28	1505.1
29	1282.7
30	1190.5
31	1152.8
32	1089.7
33	1404.7
34	1308.6
35	1255.4
36	1106.7
37	1484.6
38	1317.4
39	1294.7
40	1154
41	1449.9
42	1174.9
43	1466.9
44	1282.4
45	1228
46	1174
47	1196.2
48	1443.8
49	1309.1
50	1250.8
51	1222.8
52	1409.9
53	1147.3
54	1342.7
55	1220.3
56	1211
57	1293.3
58	1256.6
59	1303.2
60	1204.9
61	1129.1
62	1481.5
63	1230.2
64	1264.1
65	953.7
66	1248.9
67	1172.2
68	1253.5
69	1393.7
70	1245.2
71	995.8
72	1211
73	1319.4
74	1282.2
75	1257.5
76	1309.5
77	1153.7
78	1148.4
79	1346.8
80	1298.2
81	1294.8
82	1387.5
83	1119.3
84	1195.8
85	1364.7
86	1107.9
87	1259
88	1155.9
89	1288.9
90	1098.7
91	1293.5
92	1289.6
93	1442.4
94	1233.1
95	1133.7
96	1151.5
97	1120.5
98	1401.3
99	1273
100	1176.1
101	1204.5
102	1238.3
103	1282.4
104	1205
105	1316.5
106	1184.5
107	1309.2
108	1362.8
109	1174.7
110	1258.5
111	1290.1
112	1188.1
113	1097.9
114	1284
115	1256.5
116	1291
117	1131.5
118	1139.7
119	1323.8
120	1285.9
121	1214.1
122	1164.5
123	1405.4
124	1352.7
125	1305.1
126	1162.2
127	1217.1
128	1348.4
129	1410.8
130	1326
131	1349.5
132	1370.5
133	1293.5
134	1266.4
135	1271.7
136	1099.9
137	1295.7
138	1254.5
139	1219.7
140	1222.5
141	1296.8
142	1271.3
143	1349.5
144	1303.9
145	1254.2
146	980.5
147	1348.8
148	1407.2
149	1298
150	1205.4
151	1401.9
152	903.2
153	1139.3
154	1182.4
155	1349.7
156	1411.7

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