Maurice Tutor

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    Argosy University/ Phoniex University/
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Category > Management Posted 01 Jun 2018 My Price 4.00

Farmers Fun Market

Farmers Fun Market advertises fresh milk daily, never pasteurized and never treated. Therefore the farmer must decide how much milk to bottle each day. If the milk is not sold by the end of the day, it will be deem bad and will be thrown out. Suppose it costs the farmer $1.25 to produce one bottle of milk, and he sells it for $3.00. He knows that demand is normally distributed with mean 200 and standard deviation of 40. How many bottles should the farmer produce each day to maximize expected profits?

 

I am having issues with ordering for perishable inventory can someone please break it down step by step.

 

Thanks

Answers

Maurice Tutor
(5)
Status NEW Posted 01 Jun 2018 08:06 PM My Price 4.00

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