Your company orders packs of gums and, then, sells them to retailers. The profit you get from each pack is $5. The salvage loss is $3 for each pack, which is the amount you lose if you buy more than the demand. The following table shows the demand for the number of packs of gums over 300 days. For instance, you have 10 packs of gums demanded for 60 days (out of 300 days). Packs demanded 10 11 12 13 Number of days 60 90 120 30 Calculate your optimal order number for the packs of gums. What is the max amount to pay to know the certain demand?
Your company orders packs of gums and, then, sells them to retailers. The profit you get from each pack is $5. The salvage loss is $3 for each pack, which is the amount you lose if you buy more than the demand. The following table shows the demand for the number of packs of gums over 300 days. For instance, you have 10 packs of gums demanded for 60 days (out of 300 days). Packs demanded 10 11 12 13 Number of days 60 90 120 30 Calculate your optimal order number for the packs of gums. What is the max amount to pay to know the certain demand?
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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Your company orders packs of gums and, then, sells them to retailers. The profit you get from each pack is $5. The salvage loss is $3 for each pack, which is the amount you lose if you buy more than the demand. The following table shows the demand for the number of packs of gums over 300 days. For instance, you have 10 packs of gums demanded for 60 days (out of 300 days).
|
Packs demanded |
10 | 11 | 12 | 13 |
| Number of days | 60 | 90 | 120 | 30 |
-
Calculate your optimal order number for the packs of gums.
-
What is the max amount to pay to know the certain demand?
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