How much of the ground beef should three bros burger

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Case Study: Three Bros Burger specializes in serving burgers with fresh and juicy beef patties. The restaurant buys premium ground beef from a local supplier at a price of $6.00 per pound. To live up to its reputation, Three Bros Burger only uses the ground beef delivered each morning to make burgers sold on the same day. If at the end of the day it has leftover meat, the meat will be sold to another burger restaurant for $4.00 per pound. Each pound of the ground beef can be used to prepare 4 beef burgers. The total unit cost (inclusive of the cost of beef) to make a beef burger is $4.5. A burger is sold for $6.

Question: Suppose the daily demand for the ground beef at the restaurant is normally distributed with a mean of 250 and a standard deviation of 50 pounds. How much of the ground beef (in pounds) should Three Bros Burger order each day?

 

Reference no: EM133441216

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