Question
Pedro buys hamburguers from Ana at 3 dollar per unit and sells them at 9 dollar per unit. Ana produces hamburguers at 0.30 dollar per
Pedro buys hamburguers from Ana at 3 dollar per unit and sells them at 9 dollar per unit. Ana produces hamburguers at 0.30 dollar per unit. , Pedro discard all extra hamburguers that was not able to sell.
demand for hamburguers are normally distributed with mean 100 and st deviation 28.
question
1 Now the demand has change, the demand normally distributed mean is 100 but the standard deviation has change to 50. how much money should Ana offer to Pedro for each unsold hamburguer so that Pedro still orders Qfrom her. What is Ana expected revenue? use the initial values parameters of the statement
Step by Step Solution
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Step: 1
Initial Scenario Pedro buys hamburgers from Ana at 3 each and sells them at 9 each The cost to produce each hamburger for Ana is 030 Pedro discards an...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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