Question: Bonus Problem: ( 6 points ) ( Bonus points will be added to your homework score ) . A fish distributor is trying to perfect
Bonus Problem: pointsBonus points will be added to your homework score
A fish distributor is trying to perfect his business to maximize the money he saves. Daily fish sales are normally distributed with a mean of pounds and a standard deviation of pounds. The distributor sells each pound of fish for $ and pays $ per pound to buy fish. The distributor must get rid of unsold fish by paying a waste removal facility fee of $ per pound of fish. How many pounds of fish should the distributor order each day and what of the time will he experience a stockout? Are there any drawbacks to the order size proposed and how could the fisherman address such issues?
Bonus Problem: pointsBonus points will be added to your homework score
A fish distributor is trying to perfect his business to maximize the money he saves. Daily fish sales are normally distributed with a mean of pounds and a standard deviation of pounds. The distributor sells each pound of fish for $ and pays $ per pound to buy fish. The distributor must get rid of unsold fish by paying a waste removal facility fee of $ per pound of fish. How many pounds of fish should the distributor order each day and what of the time will he experience a stockout? Are there any drawbacks to the order size proposed and how could the fisherman address such issues?
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