Operations Management
17th Edition
ISBN: 9781259142208
Author: CACHON, Gérard, Terwiesch, Christian
Publisher: Mcgraw-hill Education,
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Textbook Question
Chapter 13, Problem 5PA
Teddy Bower is an outdoor clothing and accessories chain that purchases a line of parkas at $10 each from its Asian supplier, TeddySports. Unfortunately, at the time of the order placement, demand is still uncertain: Teddy Bower forecasts that its demand is
- a. What is the probability this parka turns out to be a “dog,” defined as a product that sells less than half of the
forecast ? [LO13-1] - b. How many parkas should Teddy Bower buy from TeddySports to maximize expected profit? [LO13-1]
- c. If Teddy Bower orders 3000 parkas, what is the in-stock probability? [LO13-2]
- d. If Teddy Bower orders 3000 parkas, what is the expected leftover inventory? [LO13-2]
- e. If Teddy Bower orders 3000 parkas, what are expected sales? [LO13-2]
- f. If Teddy Bower orders 3000 parkas, what is expected profit? [LO13-2]
- g. If Teddy Bower wishes to ensure a 98.5 percent in-stock probability, how many parkas should Teddy Bower order? [LO13-3]
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Chapter 13 Solutions
Operations Management
Ch. 13 - Which of the following is NOT true about the...Ch. 13 - A newsvendor orders the quantity that maximizes...Ch. 13 - Prob. 3CQCh. 13 - Suppose the newsvendor model describes a firms...Ch. 13 - Prob. 5CQCh. 13 - Prob. 6CQCh. 13 - A retailer has two merchandizers, Sue and Bob, who...Ch. 13 - Prob. 8CQCh. 13 - Which of the following changes in the in-stock...Ch. 13 - Prob. 10CQ
Ch. 13 - Prob. 11CQCh. 13 - Prob. 12CQCh. 13 - Prob. 13CQCh. 13 - Prob. 14CQCh. 13 - Dan McClure owns a thriving independent bookstore...Ch. 13 - Flextrola, Inc., an electronics systems...Ch. 13 - Monsanto sells genetically modified seed to...Ch. 13 - Fashionables is a franchisee of The UnLimited, the...Ch. 13 - Teddy Bower is an outdoor clothing and accessories...Ch. 13 - Prob. 6PACh. 13 - Goop Inc. needs to order a raw material to make a...Ch. 13 - Geoff Gullo owns a small firm that manufactures...Ch. 13 - Prob. 9PACh. 13 - Prob. 10PACh. 13 - Prob. 11PA
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