Selling mobiles, Jumbo earns a revenue of AED 500 per mobile. This revenue is the amount...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Selling mobiles, Jumbo earns a revenue of AED 500 per mobile. This revenue is the amount after deducting the cost of mobile. It incurs a holding cost of AED 25 per mobile per month if a stocked mobile is not sold. Holding cost is a portion of rent, insurance and others. Assume that the unsold units are not carried over to the next period. The supplier takes them. If there is a shortage, the market assigns a good will cost of AED35 a mobile. The store has a stocking policy of 240 mobiles a month. The demand for mobile is normally distributed with a mean of 300 and standard deviation of 50. Simulate the operation for 15 months and determine the mean expected net profit, standard deviation of the net profit and service level. Complete the missing entries. (Roundup the demand to the next whole number) Random Month Demand Stock Sold Revenue Holding cost number 0.77 2 3 4 5 6 7 8 9 10 11 12 13 14 15 0.31 0.23 0.91 0.09 0.47 0.84 0.57 0.16 0.01 0.25 0.07 0.01 0.31 0.06 You may expect some questions like the following. What is the net profit of the supermarket? What is the standard deviation (sample) of the profit? What is the service level? Shortage cost Net profit Does the service level acceptable to the supermarket? If yes/no, explain why? Why not? (Hints: if the service level is 90or above say good, acceptable) If the supermarket wants to achieve, a service level of 95%, how many mobiles the company should stock every month? (Hints: use goalscck) Selling mobiles, Jumbo earns a revenue of AED 500 per mobile. This revenue is the amount after deducting the cost of mobile. It incurs a holding cost of AED 25 per mobile per month if a stocked mobile is not sold. Holding cost is a portion of rent, insurance and others. Assume that the unsold units are not carried over to the next period. The supplier takes them. If there is a shortage, the market assigns a good will cost of AED35 a mobile. The store has a stocking policy of 240 mobiles a month. The demand for mobile is normally distributed with a mean of 300 and standard deviation of 50. Simulate the operation for 15 months and determine the mean expected net profit, standard deviation of the net profit and service level. Complete the missing entries. (Roundup the demand to the next whole number) Random Month Demand Stock Sold Revenue Holding cost number 0.77 2 3 4 5 6 7 8 9 10 11 12 13 14 15 0.31 0.23 0.91 0.09 0.47 0.84 0.57 0.16 0.01 0.25 0.07 0.01 0.31 0.06 You may expect some questions like the following. What is the net profit of the supermarket? What is the standard deviation (sample) of the profit? What is the service level? Shortage cost Net profit Does the service level acceptable to the supermarket? If yes/no, explain why? Why not? (Hints: if the service level is 90or above say good, acceptable) If the supermarket wants to achieve, a service level of 95%, how many mobiles the company should stock every month? (Hints: use goalscck)
Expert Answer:
Answer rating: 100% (QA)
Simulation of Supermarket Mobile Sales Month Random Number Demand Stock Sold Revenue ... View the full answer
Related Book For
College Physics
ISBN: 978-0495113690
7th Edition
Authors: Raymond A. Serway, Jerry S. Faughn, Chris Vuille, Charles A. Bennett
Posted Date:
Students also viewed these economics questions
-
If height is normally distributed with a mean of 68 inches and a standard deviation of 5 inches, what is the probability of selecting someone who is 70 inches or taller?
-
We know that IQs are normally distributed with a mean of 100 and standard deviation of 15. Suppose you want to verify this, so you take 100 random samples of size four each and, for each sample, find...
-
Final averages are typically approximately normally distributed with a mean of 72 and a standard deviation of 12.5. Your professor says that the top 8% of the class will receive an A; the next 20%, a...
-
Imagine you discover a yeast mutant that exhibits a general inability to grow and thrive compared to wild-type yeast. You predict that the mutant has a defect in a basic process necessary for...
-
Find the first and second derivatives of a e-|x| b 2|x| - |x - 1| c |x2 + x| d a sgn(x2 - 4) e sin |x| f |sin x | g sgn(sin x)
-
1. The employees in this case pointed to the fact that Integrity could have greatly reduced the amount of time for screening to just a few minutes by employing more personnel and metal detectors....
-
Repeat the calculations of Example 6.3, but for \(80 \mathrm{~mol} \%\) of the liquid distilled. Data From Example 6.3:- Suppose the liquid of Example 6.1 [50 mol% n-heptane (A), 50 mol% n-octane...
-
Beaver Brothers, Inc. is conducting a study to assess the capability of its 150-gram bar soap production line. A critical quality measure is the weight of the soap bars after stamping. The upper and...
-
Write a three page paper on Compare and contrast Online Analytic Processing (OLAP) and Online Transaction Processing (OLTP); also discuss Codds rules for TP databases and OLAP databases. Cite any...
-
AnderSet Laboratories produces rough lenses that will ultimately be ground into precision lenses for use in laboratory equipment. The company has developed the following thickness measures, based on...
-
25. Atlanta Sporting Goods sells bicycles throughout the southeastern United States. The following data were taken from the most recent quarterly sales forecast: End-of-Month Expected Sales Target...
-
In order for a student to go on the road with the band, they need to return a permission slip signed by their parent or guardian. In cell C12, enter a VLOOKUP to retrieve the value from the...
-
Mary is an accountant and having an annual income of $400,000. She plans to open a bookstore and quitting her job. She has her own shop and the annual rent is $148,000. She expects the annual revenue...
-
Your department has a total salary budget of $62,500. Among your employees, there is a manager who is allocated a significant portion of this budget. 4. Calculate the manager's salary, given that it...
-
Talal Properties need a construction machinery costing AED 45,000. The machine will work for 5 years. Expected net cash inflows [in AED] are y1: 30,000; y2: 25,000; y3 :15,000; y4: 10,000 and y5:...
-
Hill Corporation issued $3,000,000 of 7% bonds at 98 on January 2, 2019. Interest is paid semiannually on June 30 and December 31. The bonds had a 10-year life from the date of issue, and the company...
-
Gary Michaels owns a landscaping company. His business taxable income (prior to any Section 179 deduction) was $5,000. He has purchased $50,000 in new equipment during the year. What is the maximum...
-
In Exercises delete part of the domain so that the function that remains is one-to-one. Find the inverse function of the remaining function and give the domain of the inverse function. f(x) = 16x4 -3...
-
When light (or other electromagnetic radiation) travels across a given region, what is it that oscillates? What is it that is transported?
-
A lens having a focal length of 25 cm is used as a simple magnifier. (a) What is the angular magnification obtained when the image is formed at the normal near point (q = 25 cm)? (b) What is the...
-
1. Is it possible to orient a current loop in a uniform magnetic field such that the loop will not tend to rotate? 2. Will a nail be attracted to either pole of a magnet? Explain what is happening...
-
A gene is a segment of DNA that contains the information to produce a functional product. The functional product of most genes is a. DNA. b. mRNA. c. a polypeptide. d. none of the above.
-
Which of the following is not a constituent of a cells proteome? a. An enzyme b. A cytoskeletal protein c. A transport protein in the plasma membrane d. An mRNA
-
The function of the genetic code is to a. promote transcription. b. specify the amino acids within a polypeptide. c. alter the sequence of DNA. d. do none of the above.
Study smarter with the SolutionInn App