Use the following information to answer the next 2 questions. Ski Wear is deciding how many...
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Use the following information to answer the next 2 questions. Ski Wear is deciding how many snow boots to order. The snow boots have a retail price of $185, with a wholesale order cost of $120. Remaining boots are discounted by 45 percent and will all be sold. Ski Wear estimates sales of about 850 snow boots with a Poisson distribution. If demand exceeds the order quantity, then the wholesaler will place a rush order. The rush order costs are $75 for each pair of boots. Ski Wear first wants to examine the impact of ordering exactly 850 snow boots. Then, they will want to examine the impact of ordering between 800 and 1,000 snow boots in batch sizes of 50. A B Ski Wear Snow Boots Number Demanded Per Snowboot: 4. Revenue/Cost Number Ordered Number Sold at Full Price 7 Number Sold at Discount Price Unsatisfied Demand 5. 8. 10 Net Profit The Nurmber Ordered in cell B5 would be =RiskPoisson(850) True False Question 39te For the Ski Wear company, the following value is the revenue/cost value for cell C8 (Unsatisfied Demand) if they place the emergency order is negative $65.00. True False 123 Use the following information to answer the next 2 questions. Ski Wear is deciding how many snow boots to order. The snow boots have a retail price of $185, with a wholesale order cost of $120. Remaining boots are discounted by 45 percent and will all be sold. Ski Wear estimates sales of about 850 snow boots with a Poisson distribution. If demand exceeds the order quantity, then the wholesaler will place a rush order. The rush order costs are $75 for each pair of boots. Ski Wear first wants to examine the impact of ordering exactly 850 snow boots. Then, they will want to examine the impact of ordering between 800 and 1,000 snow boots in batch sizes of 50. A B Ski Wear Snow Boots Number Demanded Per Snowboot: 4. Revenue/Cost Number Ordered Number Sold at Full Price 7 Number Sold at Discount Price Unsatisfied Demand 5. 8. 10 Net Profit The Nurmber Ordered in cell B5 would be =RiskPoisson(850) True False Question 39te For the Ski Wear company, the following value is the revenue/cost value for cell C8 (Unsatisfied Demand) if they place the emergency order is negative $65.00. True False 123
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Related Book For
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date:
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