Question: Goop Inc. needs to order a raw material to make a special polymer. The demand for the polymer is forecasted to be normally distributed with
Goop Inc. needs to order a raw material to make a special polymer. The demand for the polymer is forecasted to be normally distributed with a
mean of gallons and a standard deviation of gallons. Goop sells the polymer for $ per gallon. Goop purchases raw material for $ per
gallon and must spend $ per gallon to dispose of all unused raw material due to government regulations. One gallon of raw material yields
one gallon of polymer. If demand is more than Goop can make, then Goop sells only what it has made and the rest of the demand is lost. Use
Table
How many gallons should Goop purchase to maximize its expected profit? Use Table Round your answer to decimal places. Enter
your answer a whole number.
Answer:
Suppose Goop purchases gallons of raw material. What is the probability that it will run out of raw material? Round your answer to
decimal places.
Answer:
Suppose Goop purchases gallons of raw material. What are the expected sales in gallons Use Table and the roundup rule. Round
your answer to decimal places.
Answer:
Suppose Goop purchases gallons of raw material. How much should it expect to spend on disposal costs in dollars Use Table and
the roundup rule. Round your answer to decimal places.
Answer: $
Suppose Goop wants to ensure that there is a percent probability that it will be able to satisfy its customers' entire demand. How many
gallons of the raw material should it purchase? Use Table and the roundup rule. Enter your answer as a whole number.
Answer:
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