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loris [4]
3 years ago
12

In a particular setting where the newsvendor model applies, demand is Normally distributed and the critical ratio is 0.4. Then,

if the profit maximizing quantity (i.e., the Newsvendor ordering quantity) were ordered:_________
a. the expected sales is less than expected demand;
b. the expected sales is greater than expected demand;
c. the expected sales is exactly equal to expected demand;
d. the expected sales could be less than, equal to or greater than expected demand.
Business
1 answer:
Alja [10]3 years ago
3 0

Answer: C. the expected sales is exactly equal to expected demand;

Explanation:

The newsvendor model refers to the mathematical model that is used in the determination of optimal inventory levels. This model is characterized by uncertain demand and fixed prices for a good that's perishable e.g newspapers.

In this model, there can be a high profit only in a scenario whereby the demand and the supply is met. Therefore, if the profit maximizing quantity were ordered, the expected sales is exactly equal to expected demand.

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Wayne has been employed as a trainee in a print shop for one month and receives less than minimum wage for his work. According t
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Explanation below

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3 years ago
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For a construction project, Yosa was asked to cut a 42-inch chain into three pieces of equal length. She made the first cut corr
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Answer:

The length of the shorter piece is 11 in

and the longer piece = 17 in

Explanation:

Given:

Total length of the chain = 42 in

When cut in three equal piece the length of each piece = \frac{\textup{42}}{\textup{3}}  = 14 in

Therefore, The length of the first piece = 14 in

Let the length of the shorter piece be 'x' in

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The length of the shorter piece is 11 in

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