EXCEL NEEDS TO BE USED TO COMPLETE THE PROBLEM. PLEASE USE EXCEL IF YOU ANSWER THE QUESTION!!!!

EXCEL NEEDS TO BE USED TO COMPLETE THE PROBLEM. PLEASE USE EXCEL IF YOU ANSWER THE QUESTION!!!!

Exercises 1. A publisher sells books to Barnes & Noble at $12 each. The marginal production cost for the publisher is $1 per book. Barnes & Noble prices the book to its customers at $24 and expects demand over the next two months to be normally dis- tributed, with a mean of 20,000 and a standard deviation of 5,000. Barnes & Noble places a single order with the publish- er for delivery at the beginning of the two-month period. Currently, Barnes & Noble discounts any unsold books at the end of two months down to $3, and any books that did not sell at full price sell at this price. a. How many books should Barnes & Noble order? What is its expected profit? How many books does it expect to sell at a discount? b. What is the profit that the publisher makes given Barnes & Noble's actions? c. A plan under discussion is for the publisher to refund Barnes & Noble $5 per book that does not sell during the two-month period. As before, Barnes & Noble will dis- count them to $3 and sell any that remain. Under this plan, how many books will Barnes & Noble order? What is the expected profit for Barnes & Noble? How many books are expected to be unsold? What is the expected profit for the publisher? What should the publisher do