Jeeger is a highly perishable Burger. Unfortunately, the texture and color of the burgers are not the
Question:
Jeeger is a highly perishable Burger. Unfortunately, the texture and color of the burgers are not the same after several hours, so once they are prepared in the morning, they can only be sold on the same day. After the store is closed, all remaining Jegger burgers are discarded. Timothy knows you are taking SC1x and ask you for help implementing the best inventory management practices. He also provided you with the following information:
- It costs 2.392 to produce each Jeeger
- Peppers sells each Jeeger for 13.28
- The daily demand of Jeegers is normally distributed with a mean of 74 and a Standard deviation of 8.
Peppers is located near MIT campus so you recommend Timothy to sell any unsold Jeggers to MIT students ten minutes before closing the store for $1.9
What would be the new optimal quantity of units to prepare?