Question: TABLE 1 3 . 4 The Distribution, F ( Q ) , and Expected Inventory, / ( Q ) , Functions for a Normal Distribution
TABLE The Distribution, and Expected Inventory, Q Functions for a Normal Distribution with Mean and Standard Deviation
table Teddy Bower is an outdoor clothing and accessorles chain that purchases a line of parkas at $ each from Its Aslan supplier,
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 devlation of Teddy Bower sells these parkas at $ each. Unsold
parkas have little salvage value; Teddy Bower simply glves them away to a charity and also doesn't collect a tax benefit for the
donation Use Table
Note: Do not round Intermedlate calculatlons. If a part of the questlon speclfles whether to use Table or to use Excel, then
credit for a correct answer will depend on using the specifled method.
a 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.
Order quantity
b If Teddy Bower orders parkas, what is expected leftover Inventory? Use Table and the roundup rule.
Note: Round your answer to decimal places.
Expected leftover inventory
c If Teddy Bower orders parkas, what is expected sales? Use your result from Part b
Note: Round your answer to decimal places.
Expected sales
d If Teddy Bower orders parkas, what is expected profit? Use your results from Part b and Part c
Note: Round your answer to decimal places.
Expected profit
e How many parkas should Teddy Bower order to ensure a Instock probability? How many parkas should Teddy Bower's
order? Use Table
Order quantity
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