Question: PA 1 3 - 5 ( Algo ) Teddy Bower is an outdoor clothing and accessorles chaln... Teddy Bower is an outdoor clothing and accessorles
PA Algo Teddy Bower is an outdoor clothing and accessorles chaln...
Teddy Bower is an outdoor clothing and accessorles chain that purchases a line of parkas at $ each from its Aslan suppller,
TeddySports. Unfortunately, at the time of the order placement, demand is still uncertain: Teddy Bower forecasts that its demand is
normally distributed with a mean of and a standard deviation of Teddy Bower sells these parkas at $ each. Unsold
parkas have little salvage value; Teddy Bower simply gives them away to a charity and also doesn't collect a tax benefit for the
donation Use Table
Note: Do not round intermediate calculations. If a part of the question specifies whether to use Table or to use Excel, then
credit for a correct answer will depend on using the specified method.
a What is the probability this parka turns out to be a "dog", defined as a product that sells less than half of the forecast? Use Excel.
Note: Round your answer to decimal places.
b How many parkas should Teddy Bower buy from TeddySports to maximize expected profit? Use Table and the roundup rule.
Note: Enter your answer as a whole number.
c If Teddy Bower orders parkas, what is the Instock probability? Use Excel.
Note: Round your answer to decimal places.
d If Teddy Bower orders parkas, what is expected leftover Inventory? Use Table and the roundup rule.
Note: Round your answer to decimal places.
e If Teddy Bower orders parkas, what is expected sales? Use your result from Part d
Note: Round your answer to decimal places.
f If Teddy Bower orders parkas, what is expected profit? Use your results from Part and Part e
TABLE The Distribution,
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