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"Only Fresh Donut Shop" sells donuts to its customers at $0.50 on the day the donuts are made. The demand for fresh donuts is Normally distributed with a mean of 10,000, with a standard deviation of 2,000. The leftover day-old donuts are sold to a secondary market, demand for which is triangularly distributed with parameters 1500, 1000, 700.
The price for a day-old donut is $0.30. It costs $0.25 to make a donut. Each time a customer tries to purchase a donut but one is not available, the shop incurs a goodwill loss. The goodwill loss for a unit of unmet donut demand is $0.15 on day one; the secondary market goodwill loss is $0.05 per donut.
Model the above problem with @Risk and determine the best production quantity (to the nearest 500-unit increment using 1000 iterations) to maximize expected profits. After you have completed the problem please attach and submit your ONE completed Excel workbook for the problem.
1. You borrow Php3,500.00 for one year from a friend at an interest rate of 1.5% per month instead of taking a loan from a bank at a rate of 18% per year.
How many subjects are needed within 3 points with a 99% confidence with a standard deviation of 12.3?
Calculate the conventional and modified benefit- cost ratios for the following project.
Global Gas International offers to subcontract the Halidurton Heavy Construction Corporation to build an oil pipeline from Canada to New Orleans for $500 millio
How political, economic and legal systems influence a country's ability to achieve meaningful economic progress?
Joe Cool went to a baseball game and got very hungry for a hotdog. While it is true that the ballpark sells soda and hotdogs separately, Joe Cool never has one without having one of the other. His indifference curve map between these two goods is mos..
Plot the demand and supply curves with prices on the vertical axis and quantity on the horizontal axis.
Which of the following is a key difference between a market development strategy and a diversification strategy?
Cal Lutheran School of Management needs a database that tracks graduate student and alumni information. As a first step, your data model needs to track information about current students such as name, local address, major (or program) (e.g. IT, MB..
illustrates the likely effect on the marketplace for eggs. Indicate in each case the impact on equilibrium cost also equilibrium quantity.
Suppose that in a week the price of Greek yogurt increases from $5.00/lb to $5.25/lb. At the same time, the quantity of Greek yogurt supplied increases from 100,000 lbs to 125,000 lbs. What is the price elasticity of supply for Greek yogurt?
Assume that demand for a commodity is represented by the equation formula p= 90-2Qd Supply is represented by the equation formula p=-5+3Qs where Qd and Qs are quantity demanded and quantity supplied, respectively, and P is price. Using the equilibriu..
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