(a) Determine the equation for computing FTCs profit for given values of the relevant parameters (e.g., demand, production quantity, etc.). Usina this eauation. compute FTC's profit (in dollars) when realized demand is equal to 60,000 (the average demand). (c) Compare the average profit estimated by simulation in part (b) to the profit calculation in part (a). The average profit from the simulation is less than the profit computed in part (a). The average profit from the simulation is greater than the profit computed in part (a) Explain why they differ. Since the demand is being modeled as a normal random variable, the sample mean profit will always tend to be higher than the true mean profit. Since the demand is being modeled as a normal random variable, the sample mean profit will always tend to be lower than the true mean profit. Profit is limited by the production quantity, so higher than average demand does not correspond to higher profits, but lower demand will lead to lower profits. Profit is limited by the production quantity, so lower than average demand does not correspond to lower profits, but higher demand will lead to higher profits. nearest integer.) What is the mean profit (in dollars) assaciated with 50,000 units? What is the mean profit (in dollars) assaciated with 70,000 units? $ (e) In addition to mean profit, what other factors should FTC consider in determining a production quantity? (Select all that apply.) stack market 1 I profit standard deviation - probability of a shortage probability of a loss gut feeling (a) Determine the equation for computing FTCs profit for given values of the relevant parameters (e.g., demand, production quantity, etc.). Usina this eauation. compute FTC's profit (in dollars) when realized demand is equal to 60,000 (the average demand). (c) Compare the average profit estimated by simulation in part (b) to the profit calculation in part (a). The average profit from the simulation is less than the profit computed in part (a). The average profit from the simulation is greater than the profit computed in part (a) Explain why they differ. Since the demand is being modeled as a normal random variable, the sample mean profit will always tend to be higher than the true mean profit. Since the demand is being modeled as a normal random variable, the sample mean profit will always tend to be lower than the true mean profit. Profit is limited by the production quantity, so higher than average demand does not correspond to higher profits, but lower demand will lead to lower profits. Profit is limited by the production quantity, so lower than average demand does not correspond to lower profits, but higher demand will lead to higher profits. nearest integer.) What is the mean profit (in dollars) assaciated with 50,000 units? What is the mean profit (in dollars) assaciated with 70,000 units? $ (e) In addition to mean profit, what other factors should FTC consider in determining a production quantity? (Select all that apply.) stack market 1 I profit standard deviation - probability of a shortage probability of a loss gut feeling