Question: The demand for the printed catalog is distributed as follows (a selective part): Number of Catalogs ... 60 61 62 63 64 65 66 ...
The demand for the printed catalog is distributed as follows (a selective part):
| Number of Catalogs | ... | 60 | 61 | 62 | 63 | 64 | 65 | 66 | ... |
| Cumulative Probability | ... | 0.80 | 0.83 | 0.86 | 0.89 | 0.91 | 0.93 | 0.94 | ... |
Please identify the optimal production quantity, i.e., the number of catalogs to be printed, based on the optimal service level identified in the previous question. Please explain your logic to show the work.
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