(1) Assume that BlueSky purchases three identical aircraft. How many coach seats should BlueSky order for the three new aircraft? (2) Now suppose that the three aircraft can be dif- ferent

sizes, between 240 and 380 coach seats. (a) How do you think the three aircraft should be allocated among the six routes? In other words, should the same aircraft always fly the same routes? Why or why not? (Hint: You do not need an optimiza- tion model to answer this question). (b) How many coach seats should BlueSky order for each of the three new aircraft? (3) Because it is cheaper to manufacture three iden- tical planes, Airbus is offering BlueSky a one-time, $5 million discount if it will order three identical air- craft. Should BlueSky take the discount? In decid- ing this, you may assume that BlueSky operates 3 banks per weekday through Houston, and that the revenues and demands for every bank on every week- day are equal to the demands in Tables 1 and 2 of the (A) Case.