The Crestview Printing Company prints a particularly popular Christmas card once a year and distributes the cards to stationery and gift shops throughout the US. It costs Crestview 50 cents to print each card, and the company receives 65 cents for each card sold. Because the cards have the current year printed on them, those cards that are not sold are generally discarded. Based on past experience and forecasts of current buying patterns, the expected (average) number of cards to be sold nationwide for next Christmas season is 250,000 with standard deviation of 100,000.

a. Determine the critical ratio or in-stock probability?

b. Determine the number of cards that Crestview should print this year?

Answer rating: 100% (QA)

Given values Cost of printing 50 cents or 050 Selling price 65 cents or 065 Salvage va... View the full answer