The optimal stocking level for the bakery

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Reference no: EM131806137

Henrique? Correa's bakery prepares all its cakes between 4 A.M.and 6 A.M.so they will be fresh when customers arrive.? Day-old cakes are virtually always? sold, but at a? 50% discount off the regular ?$16 price. The cost of baking a cake is $10?, and demand is estimated to be normally? distributed, with a mean of 20 and a standard deviation of 5. What is the optimal stocking? level? Refer to the standard normal table for? z-values.

a) The optimal stocking level for the bakery is ____ cakes ?(round your response to the nearest whole? number).

Reference no: EM131806137

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