Question: 5. Johnson Electronics sells electronic components through catalogs. Catalogs are updated and printed twice every year. Each printing run incurs a fixed cost of $3,000,

5. Johnson Electronics sells electronic

5. Johnson Electronics sells electronic components through catalogs. Catalogs are updated and printed twice every year. Each printing run incurs a fixed cost of $3,000, which involves catalog design cost and printing setup cost. The variable production cost is $7 per catalog. Annual demand for catalogs is estimated to be normally distributed with a mean of 12,000 and a standard deviation of 3,000. Data indicate that, on average, each customer ordering a catalog generates a revenue of $20 from sales. How many catalogs should be printed in each run

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