What is your target order quantity for the course

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Reference no: EM131253152

You are the buyer for your university bookstore. One of the textbooks has a cost to you of $ 100 and you sell it to students for $140. Any copies of the book that you order and do not sell to students can be returned to the publisher for an average $ 80 credit. (Sometimes you can get full credit, but sometimes a new edition is published so you get no credit.) In one particular course, demand has averaged 400 books each semester, with a standard deviation of 40. What is your target service level? What is your target order quantity for the course?

Reference no: EM131253152

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