How many robots should best buy order from zz

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Reference no: EM133412525

Question: The hottest item for the holiday season this year is PUPSX2, a remote-control, programmable robot made by ZooZee (ZZ). ZZ has a wholesale contract with Best Buy whereby Best Buy pays a wholesale price of $125 per robot. Best Buy sells each robot for a price of $200. It costs ZZ $85 to produce the robot in China. Best Buy estimates that any robots left- over after the holiday season can be easily sold at a 50% discount of the selling price. Best Buy forecasts that the total holiday demand for PUPSX2 will be normally distributed with a mean of 100,000 robots and a forecast standard deviation of 40,000 robots. Best Buy has only one opportunity to place an order with ZZ before the holiday season starts. Show your calculations. 15. How many robots should Best Buy order from ZZ?

Reference no: EM133412525

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