Computing the zamatia profit

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Zamatia manufactures high-quality sunglasses with production cost $40 per unit and sells them to Ewha store at the wholesale price $80 per unit. Ewha store sells the sunglasses at $120 per unit and salvages the leftovers at $20 per unit at the end of the selling season. The customer demnad for sunglasses is expected to be Normally distributed with mean 1,000 and standard deviation 200. If Zamatia and Ewha store want to maximize their own profits individually, what will be Zamatia's profit? (Use the round-up rule if needed.)

Reference no: EM132952224

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