47. The Laplace distribution is discussed in Appendix 5–D. As noted there, the Laplacedistribution could be a good choice for describing demand for slow-moving itemsand for fast-moving items with high variation. The cdf of the Laplace distribution isgiven byF(x) = 0.5[1 + sgn(x – µ)](1 – exp(-|x – u|/0),and the inverse of the cdf is given byF'(p) = µ – 0 sgn (p – 0.5) In (1 – 2 |p – 0.5 |),where sgn(x) is the sign ofx. The mean is u and the variance is 20². Since the inverse dis-tribution function can be written down explicitly, one does not have to resort to tables tosolve newsvendor problems when demand follows the Laplace distribution.Solve Problem 10, part (a), assuming the demand for the EX123 follows a Laplacedistribution with parameters µ = 60 and 0 = 3 V2 (which will give exactly the samemean and variance).

Answered: Image /qna-images/answer/4525a6f4-3850-4ba7-9f7c-57927ceecf7e.jpg

Answered: 47. The Laplace distribution is…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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You are the managerial accountant at Infostore, a manufacturer of hard drives. Its reporting year-end is December 31. The chief financial officer is concerned about having enough cash to pay the expected income tax bill because of poor cash flow management. On November 15, the purchasing department purchased excess inventory of raw materials in anticipation of rapid sales growth beginning in January. The chief financial officer tells you to record the purchase of raw materials as an expense in the current year; this would decrease the company’s tax liability by increasing expenses and reducing income. Required In which account should the purchase of raw materials be recorded? How should you respond to this request by the chief financial officer?
A company needs to order raw material and demand is forecast to be normally distributed with a mean of 250 gallons and standard deviation of 100 gallons. One gallon of raw material produces one gallon of product and the product sells for $25/gallon. Raw material costs $10/gallon but the company must also spend $5/gallon for disposal of any UNUSED raw material. If demand is higher than production capacity, the company sells what it can make and loses the rest of demand. a) If they buy 400 gallons of raw material, how much should they expect to spend on disposal costs (in $)? b) To have a 92% probability of satisfying demand, how many gallons of raw material should be bought?
1. 524 plz help w/ anything. a) is correct, need help with B
Show that Jσ_(ij)D_(ij)=T_(iL)F_(iL˙)=S(AB)E_(AB˙) [Hints: (a) to prove the first equation, use the relationship between F_(iL)˙ and L_(ij), and expand L_(ij) into symmetric and antisymmetric parts. Note the symmetry of σ_(ij). (b) To prove the second equation, first express E_(AB)˙ using F_(iL), then take the time derivative. Substitute into the definition of S_(AB )in index form and simplify.]
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The supplier's unit cost for the product is $10. The product is sold by the supplier to the retailer for $15 per unit. The retailer then sells the product to end consumers for $20 per unit. There is no value for unsold items. Demand for the product in the consumer market follows a Normal distribution with a mean of 3000 and a standard deviation of 1000. The retailer must determine the quantity to order before actual demand is known. a) What is the optimal order amount for the retailer? b) The supplier offers to buy any unsold product at $5. What is the buyer's optimal order quantity? c) What would be the best buyback offer for the supplier? find the optimal buyback price that the supplier should offer to the retailer so that one does not earn less than the wholesale price contract in part a. (d) What would be the optimal order quantity if both companies were owned by the same person?
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Question 30, Question 31, Question 32, Question 33, Question 34, Question 35, Question 46, Question 47, Question 48, Question 49, Question 50
Yearly Sales data for a product is given in Table SS Table SS (Yearly Sales) Sales (S) P(S) 120 0.12 140 0.25 160 0.17 180 0.25 200 0.09 220 0.12 Using the data in Table SS and the random numbers, 0.06, 0.10, 0.87, 0.14, 0.86, 0.32 the correct simulation of sales for 6 years is given by which of the following: IV 120 140 200 II II 120 120 120 200 120 120 120 200 200 140 180 180 140 200 140 140 180 180 140 140 140 Select one: O a. l O b. II Oc. II O d. IV 10:47 AM Ca D) ENG 12/16/2021 29°C
Zack Pop has been a producing plant production manager for the last 10 years. One produce item, zucchini, is sold in cases, with daily sales averaging 400 cases. Daily sales are also assumed to be normally distributed. Furthermore, 85% of the time sales are between 350 and 450 cases. Each case is purchased for $10 wholesale and sells for $15 retail. All cases that are not sold must be discarded. 1) Estimate the standard deviation of the sales distribution. 2) Using the standard deviation found in part a, determine how many cases of zucchini Zach should stock.

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