16 Flextrola, Inc., an electronics systems integrator, is planning to design a key component for its next-generation product with Solectrics. Flextrola will integrate the component with some software and then sell it to consumers. Given the short life cycles of such products and the long lead times quoted by Solectrics, Flextrola only has one opportunity to place an order with Solectrics prior to the beginning of its selling season. Flextrola's demand during the season is normally distributed with a mean of 1,100 and a standard deviation of 700. Use Table 13.4, Eigure 13.15.jpg, Figure 13.16.jpg Solectrics' production cost for the component is $50 per unit, and it plans to sell the component for $72 per unit to Flextrola. Flextrola incurs essentially no cost associated with the software integration and handling of each unit. Flextrola sells these units to consumers for $125 each. Flextrola can sell unsold inventory at the end of the season in a secondary electronics market for $54 each. The existing contract specifies that once Flextrola places the order, no changes are allowed to it. Also, Solectrics does not accept any returns of unsold inventory, so Flextrola must dispose of excess inventory in the secondary market. 0/2.75 points awarded Scored eBook If a part of the question specifies whether to use Table 13.4, or to use Excel, then credit for a correct answer will depend on using the specified method. What is the probability that Flextrola's demand will be within 25% of its forecast? Use Excel (Round your answer to 4 decimal places.) a. References b. What is the probability that Flextrola's demand will be more than 40% greater than Flextrola's forecast? Use Excel. (Round your answer to 4 decimal places.) C. Under this contract, how many units should Flextrola order to maximize its expected profit? Use Table 13.4. d. If Flextrola orders 1100 units, how many units of inventory can Flextrola's expect to sell in the secondary electronics market? Use Table 13.4. (Round your answer to 2 decimal places.) e. If Flextrola orders 1100 units, what are expected sales? (Round your answer to 2 decimal places.) f. If Flextrola orders 1100 units, what is expected profit? (Round your answer to 2 decimal places.) 15 Dan McClure owns a thriving independent bookstore in artsy New Hope, Pennsylvania. He must decide how many copies to order of a new book, Power and Self-Destruction, an expos on a famous politician's lurid affairs. Interest in the book will be intense at first and then fizzle quickly as attention turns to other celebrities. The book's retail price is $25, and the wholesale price is $16. The publisher will buy back the retailer's leftover copies at a full refund, but McClure Books incurs $7 in shipping and handling costs for each book returned to the publisher. Dan believes his demand forecast can be represented by a normal distribution with a mean of 250 and a standard deviation of 90. Use Table 13.4. 0/2.75 points awarded Scored If a part of the question specifies whether to use Table 13.4, or to use Excel, then credit for a correct answer will depend on using the specified method. Dan will consider this book to be a blockbuster for him if it sells more than 375 a. units. Using Table 13.4 and the round-up rule, what is the probability that 0.0824 X Power and Self-Destruction will be a blockbuster? (Round your answer to 4 decimal places.) eBook References b. 4.7800 X Dan considers a book a "dog" if it sells less than 50 percent of his mean forecast. What is the probability this expose is a "dog"? Use Excel. (Round your answer to 4 decimal places.) c. x Use Table 13.4 and the round-up rule to determine the probability that demand for this book will be within 20 percent of the mean forecast. (Round your answer to 4 decimal places.) d. Using Table 13.4 and the round-up rule, calculate the order quantity that maximizes Dan's expected profit. Do not round intermediate calculations. (Round to the nearest whole number.) e. X % If Dan orders the quantity needed to achieve a 94% in-stock probability, then what is the probability that some customer won't be able to purchase a copy of the book? (Enter your answer as a percentage rounded to the nearest whole number.) f. x Suppose Dan orders 300 copies of the book. Using Table 13.4 and the round- up method, calculate Dan's expected left-over inventory to a whole unit. Do not round intermediate calculations. (Round to the nearest whole number.) g. x Suppose Dan orders 300 copies ofthe book. What is Dan's expected sales? Do not round intermediate calculations. (Round to the nearest whole number.) h. Suppose Dan orders 300 copies of the book. What is Dan's expected profit? Use your rounded Part fand g answers. (Round to the nearest whole number.) i. Use Table 3.4 and the round-up function to determine how many books Dan should order if he wants to achieve a 94% in-stock probability. Do not round intermediate calculations. (Round to the nearest whole number.)