Question: From experience, it appears that the demand for the E 1 0 Y over a three - month interval is normally distributed with a mean
From experience, it appears that the demand for the EY over a threemonth interval is normally distributed with a mean of and a variance of The cost of holding an EY for one year is $ Emergency shipments cost $ per car over and above normal shipping costs.
How many cars should BYODMexico purchase every three months?
Repeat the calculations, assuming that excess demands are backordered from one threemonth
period to the next. Assume a lossofgoodwill cost of $ for customers having to wait until the
next threemonth period and a cost of $ per customer for bookkeeping expenses.
Repeat the calculations, assuming that when BYODMexico is out of stock of EYs the customer
will purchase the car elsewhere. Currently Tesla, but soon, the Olinia. In this case, assume that the cars cost BYODMexico and average of $ and sell for an average of $ Ignore loss ofgoodwill cost for this calculation.
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