Optimal Fleet Policy of Rental Vehicles with Relocation: A Simulation Study

Table 5

Breakdown of revenue and costs for S1–S4 at TRPD of $150.

Scenario	S1		S2		S3		S4
Model	SFM	DFM	SFM	DFM	SFM	DFM	SFM
Total revenue	$25,526,779	$25,815,968	$31,050,034	$27,789,605	$51,561,674	$51,615,863	$25,878,794
Reservation costs	$1,608,727	$1,544,110	$1,926,085	$1,716,311	$3,240,065	$3,086,453	$1,623,767
Relocation costs	$2,568,214	$4,780,126	$2,355,820	$3,357,700	$5,192,964	$9,548,481	$2,701,977
Daily cost/vehicle	$7,200,000	$7,200,000	$14,400,000	$14,400,000	$14,400,000	$14,400,000	$7,200,000
Vehicle leasing cost	$3,200,000	$3,200,000	$6,400,000	$6,400,000	$6,400,000	$6,400,000	$3,200,000
Branch leasing cost	$1,000,000	$1,000,000	$1,000,000	$1,000,000	$1,000,000	$1,000,000	$833,333
Operating profit	$9,949,838	$8,091,733	$4,968,129	$915,593	$21,328,645	$17,180,929	$10,319,717