Compute the projected profit for the order quantities suggested by the management team under three scenarios: worst case in which sales $=10,000$ units, most likely case in which sales $=20,000$ units, and best case in which sales $=30,000$ units.

One of SmartKids's managers felt that the profit potential was so great that the order quantity should have a $70\%$ chance of meeting demand and only a $30\%$ chance of any stock$-$outs. What quantity would be ordered under this policy, and what is the projected profit under the three sales scenarios?

Deliverables:

Please submit a Word file with the calculations and explanations on the following four questions. Your submission will be graded based on the following criteria: $75\%$ for the calculations and explanations, and $25\%$ for the accuracy of the results.