Mr. Fu operates a news-stand. He orders copies of newspapers from the publisher at a cost of $4 per copy. Any unsold new
Posted: Fri May 20, 2022 6:04 am
- Mr Fu Operates A News Stand He Orders Copies Of Newspapers From The Publisher At A Cost Of 4 Per Copy Any Unsold New 1 (31.46 KiB) Viewed 53 times
- Mr Fu Operates A News Stand He Orders Copies Of Newspapers From The Publisher At A Cost Of 4 Per Copy Any Unsold New 2 (31.46 KiB) Viewed 53 times
Mr. Fu operates a news-stand. He orders copies of newspapers from the publisher at a cost of $4 per copy. Any unsold newspaper has zero salvage value. From many years of sales experience, he learned that the demand for newspapers depend on the price. In particular, he has discovered that the demand can be described with a normal distribution with mean 100-p and standard deviation 12. For what price p does the optimal order quantity achieves the service level of 80% exactly? 25 16 05 20 10