Question: Bob's Fly catalog collected forecasts, sales, and demand data for 2 0 items in one category from its previous catalog. The data is provided below
Bob's Fly catalog collected forecasts, sales, and demand data for items in one category from its previous catalog. The data is provided below in the table. AF Forecast Sales Demand Total Average Standard Deviation For example, their forecast for the first item in the table was units, but it unfortunately only sold units. However, with the last item listed, they sold units but could have sold units if they had ordered enough inventory. For the next catalog, they have an item for which they forecast demand to be units. Suppose they will use that forecast along with the data in the above table to choose a normal distribution to model demand for this product. What standard deviation should they choose?
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