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A movie studio sells the latest movie on DVD to Blockbuster at $10 per DVD. The marginal production cost for the movie studio is $1 per DVD. Blockbuster prices each DVD at $20 to its customers. DVD s are kept on the regular rack for a one-month period, after which they are discounted down to $5, Blockbuster places a one order for DVDs. Their current forecast is that sales will be normally distributed, with a mean of 10,000 and a standard deviation of 5,000. a. How many DVDs should Blockbuster order? b. What is its expected profit? c. How many DVDs does it expect to sell at a discount? d. What is the profit that the studio makes given Blockbuster's actions? A plan under discussion is for the studio to refund Blockbuster $4 per DVD that does not sell during the one-month period. As before, Blockbuster will discount them to $5 and sell any that remain. e. Under this plan, how many DVDs should Blockbuster order? f. What is the expected profit for Blockbuster? g. How many DVDs are expected to be unsold at the end of the month? h. What is the expected profit for the studio? i. What should the studio do?
Harley Davidson purchases components from three suppliers. Components purchased from Supplier A are priced at $ 5 each and used at the rate of 240,000 units per year. Components pu
I have a case study about Tehjava, which is a Tea business in indonesia. I need to know what will be the price for 1500words and include relevant diagrams and references.
difference between transaction exposure risk and translation exposure risk#
WHAT IS THE DIFFERENCE BETWEEN SUPPLY CHAIN AND VALUE CHAIN
Question 1 It is necessary for Supply Chain managers to identify the obstacles to co-ordination in the Supply Chain so that they can take suitable actions that help achieve co-ord
#questionCOURSE: LEAN THINKING Read the journal article Spear, S., & Bowen, H. K. (1999) ‘Decoding the DNA of the Toyota Production System’, Harvard Business Review, 77 (5), p
S upplier certification A certified supplier is one whose quality data record shows that it does not need to perform routine inspection and test on each lot or batch received.
Sampling Risks Any uncertainty in a project plan that potentially can be controlled, tracked or identified is termed as Risk. Risk analysis involves consideration of uncertaint
Saki, a local bar, consumes Mehboob, a popular non-alcoholic drink, at a steady rate of 10 cases/week. Saki usually buys Mehboob at $6/case, delivered to its door. However, the su
Question: You are the owner of the American-based "Chick-n-fila" fast food chain. You believe that customers in other countries would also like your food and you therefore deci
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