Shirley has to choose between a two-day trip and a three-day trip to Hollywood. The table below shows the expected benefit and cost for the different days
Using optimization in levels and optimization in differences, determine what Shirley's optimum decision should be. Does the decision differ with the techniques used? Which technique is faster to implement?
Day Cost Benefit
1 $750 $800
2 $900 $1,000
3 $600 $800
Optimization in levels
Optimization in levels requires a comparison of the net benefit of the two-day trip and net benefit of the three-day tri
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