As a part of their new alumni fundraising campaign, College had a local artist design a craved-wood dragon statue which will be sent to all alumni who donate during the campaign. The fixed cost for the design and production setup is $100,000, and it costs an additional $34 per statue in material, labor, and shipping costs. The current alumni campaign asks each alum to donate $50, but after accounting for processing costs, each donation actually brings in $42. Given the success levels of past fundraising campaigns, College is forecasting that the number of alumni who donate will be normally distributed, with a mean of 60,000 and a standard deviation of 15,000. Once the fundraising campaign is over, any statues left will be sold through the bookstore at $10 per statue. Using 100 trials, decide whether College should produce 50000, 60000, or 70000 statues. What is the probability of a stockout during the alumni fundraising campaign?

Answer rating: 100% (QA)

Answer The probability of a stockout during the alumni fundraising campaign is 01579 This can be calculated using the normal distribution calculator a... View the full answer