QUESTIONS(Using the same problem) A vendor for the local ballpark food stand is questioning whether to stock his concession with a large or smallinventory. He believes that it will depend upon the size of the crowd. He has developed a payoff matrix for the various alternatives (stockingdecision) and states of nature (size of crowd). What is the Expected Monetary Value (EMV)?AlternativesLarge InventorySmall InventoryProbabilityOA) $68,400O B)-$20,000O C) $10,000O D) $51,500O E) $78,400LargeCrowd$220,000$90,000.20PROFIT ($)AverageCrowd$50,000$70,000.50SmallCrowd-$2,000-$5,000.30

Expected monetary value (EMV) is a decision-making technique used to determine the average value of…

Answered: (Using the same problem) A vendor for…

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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Answer 12.8
A restaurant uses 40 jars of a special sauce each week. The manager is willing to accept no more than a 0.62% risk of stockout. Average lead time is 3 weeks with a standard deviation of 0.5 weeks. Assume the distribution of usage is normal. Determine the ROP. Group of answer choices 470 units 370 units 270 units 170 units
How do I do question 3?
Give typed full explanation
Geoff Gullo owns a small firm that manufactures “Gullo Sunglasses.” He has the opportunity to sell a particular seasonal model to Land’s Start, a catalog retailer. Geoff offersLand’s Start two purchasing options.• Option 1: Geoff offers to set his price at $65 and agrees to credit Land’s Start $53 foreach unit Land’s Start returns to Geoff at the end of the season (because those unitsdid not sell). Because styles change each year, there is essentially no value in thereturned merchandise.• Option 2: Geoff offers a price of $55 for each unit, but returns are no longer accepted.In this case, Land’s Start throws out unsold units at the end of the season.This season’s demand for this model will be normally distributed with a mean of 200and a standard deviation of 125. Land’s Start will sell those sunglasses for $100 each.Geoff’s unit production cost is $25.a. How much would Land’s Start buy if it chose option 1? b. How much would Land’s Start buy if it chose option 2? c. Which option will…
27) Ali has a restaurant where the customers use a different number of disposable cups each day he is open. Every 30 days, Ali places an order to replenish his cup inventory. It takes 3 days for the order to arrive, at which point it brings the inventory level up to 4000 cups. It costs Ali $30 to have the order processed. Select all statements that apply to Ali's situation: Group of answer choices a) Ali uses a Continuous Inventory System b) d is constant c) Ali uses a Periodic Inventory System d) Ali uses a Fixed-Order-Quantity Inventory System e) Maximum Inventory Level is constant
As manager of the St. Cloud Theatre Company, you have decided that concession sales will support themselves. The following table provides the information you have been able to put together thus far: Item Soft Drink Wine Coffee Candy Selling Price $1.20 $2.00 $1.25 $1.20 Variable Cost $0.60 $0.95 $0.35 $0.25 % of Revenue 26 24 30 20 Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a waste allowance for all categories. You estimate labor cost to be $300.00 (5 booths with 2 people each). Even if nothing is sold, your labor cost will be $300.00, so you decide to consider this a fixed cost. Booth rental, which is a contractual cost at $50.00 for each booth per night, is also a fixed cost. a) Based on the information available, the per night break-even point in dollars for the St. Cloud Theatre Company = $633.640 (round your response to two decimal places).
Please help to solve step by step.
A local bus company has decided to purchase a new bus for RO 75,000 with a trade in of their old bus. The old bus has a BV of RO 15,000 at the time of the trade-in, The estimated useful life of the new bus is 10 years. Its estimated SV at that time is expected to be RO 7,000. Compute: 1. Depreciation amount in the 3rd year of life, 2. Book value at the end of the 5th year of life, 3. Cumulative depreciation amount up to the 8th year, 4. Book value at the beginning of the 4th year. By each of these methods: a) The SL method. b) 150% DB with Switchover to SL
Is my answer correct for the option b? I use the same way like in option a.
Prince Electronics, a manufacturer of consumer electronic goods, has five distribution centers in different regions of the country. For one of its products, a highspeed modem priced at $380 per unit, the average weekly demand at each distribution center is 65 units. Average shipment size to each distribution center is 400 units, and average lead time for delivery is 3 weeks. Each distribution center carries 3 weeks' supply as safety stock but holds no anticipation inventory. a. On average, how many dollars of pipeline inventory will be in transit to each distribution center? $nothing. (Enter your response as an integer.) b. How much total inventory (cycle, safety, and pipeline) does Prince hold for all five distribution centers? nothing units. (Enter your response as an integer.)
Maxantene Products buys 300,000 units of a crucial input per year from a supplier that fulfills its orders within two days after receiving them. Maxantene Product submits its orders directly to the supplier through a Web interface, so its lead time is the supplier two day turnaround time. Each order cost Maxantene Products about P500 to place, while carrying cost are about P60 per unit per year. The company seek to maintain a five day usage level in a safety stock. Assume a 365 day year. ------------- a.What is Maxantene Products economic order quantity for this input? b. What is Maxantene Products' carrying cost at the EOQ? * c. At what inventory level of this input should Maxantene re-order?

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