Mary's Bakery bakes cakes for 140 local supermarkets and sells them through the supermarkets on a...

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Mary's Bakery bakes cakes for 140 local supermarkets and sells them through the supermarkets on a consignment basis, which means she only gets paid for the cakes that sell. She destroys cakes that don't sell. People in this city love her cakes. She estimates a daily demand of 13,000 cakes with a standard deviation of 1,300 cakes. Suppose she produces 14,190 cakes. Using the Excel formula NORMDIST (level of production, mean, standard deviation, 1), calculate the expected service level. Mary's Bakery bakes cakes for 140 local supermarkets and sells them through the supermarkets on a consignment basis, which means she only gets paid for the cakes that sell. She destroys cakes that don't sell. People in this city love her cakes. She estimates a daily demand of 13,000 cakes with a standard deviation of 1,300 cakes. Suppose she produces 14,190 cakes. Using the Excel formula NORMDIST (level of production, mean, standard deviation, 1), calculate the expected service level.

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To calculate the expected service level we need to determine the probability that the demand for cak... View the full answer