Question: answers with work please Problem 4) (12 points) Milk is stocked at a grocery store each week. At the end of each week, unsold milk
answers with work please
Problem 4) (12 points) Milk is stocked at a grocery store each week. At the end of each week, unsold milk price is reduced by 25% and the store can sell the unsold milk fully at this lower price. If weekly demand for milk is normally distributed with a mean of 200 gallons and standard deviation of 20 gallons, find the price for which a fresh gallon of milk sells. Assume that the store has a service level of 90% and purchases milk for $3.1 per gallon
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
