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Alisiya [41]
3 years ago
11

A news vendor sells newspapers and tries to maximize profits. The number of papers sold each day is a random variable. However,

analysis of the past month's data shows the distribution of daily demand in Table 16. A paper costs the vendor 20C. The vendor sells the paper for 30C. Any unsold papers are returned to the publisher for a credit of IOC. Any unsatisfied demand is estimated to cost IOC in goodwill and lost profit. If the policy is to order a quantity equal to the preceding day's demand, determine the average daily profit of the news vendor by simulating this system. Assume that the demand for day 0 is equal to 32. Demand per day Probability30 .0531 .1532 .2233 .3834 .1435 .06
Mathematics
1 answer:
SOVA2 [1]3 years ago
4 0
Let me think this through again and I will come back to you! 2.22 graph
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