Store A uses the newsvendor model to manage its inventory. Demand for its product is normally...
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Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. Store A purchases the product for $10 each unit and sells each for $25. Inventory is salvaged for $5. What is its maximum profit? A) $12,500 B) $8000 C) $7500 D) $5000 Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. Store A purchases the product for $10 each unit and sells each for $25. Inventory is salvaged for $5. What is its maximum profit? A) $12,500 B) $8000 C) $7500 D) $5000
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