1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Mama L [17]
2 years ago
9

Orders for clothing from a particular manufacturer for this year's Christmas shopping season must be placed in February. The cos

t per unit for a particular dress is $20 while the anticipated selling price is $50. Demand is projected to be 50, 60, or 70 units. There is a 40 percent chance that demand will be 50 units, a 50 percent chance that demand will be 60 units, and a 10 percent chance that demand will be 70 units. The company believes that any leftover goods will have to be scrapped. How many units should be ordered in February
Business
1 answer:
antoniya [11.8K]2 years ago
8 0

Based on the concept of expected value, the units that the company should order to meet February demand is <u>57 units.</u>

<h3>What is expected value?</h3>

In mathematics under the probability distribution theory, the expected value is the weighted average of possible values of some random variables.  The weights are based on the theoretical probabilities of the variables.

<h3>Data and Calculations:</h3>

Cost per unit = $20

Selling price per unit = $50

<h3>Projected Demand</h3>

  Demand Units    Probability      Expected Demand Units

1.    50 units             40%                 20 units (50 x 40%)

2.   60 units             50%                 30 units (60 x 50%)

3.   70 units              10%                    7 units (70 x 10%)

Total expected demand units =    57 units

Thus, the expected demand in February is <u>57 units</u>.

Learn more about calculating expected values at brainly.com/question/10675141

You might be interested in
Katie is looking over some of the product histories for the company. She has noticed that many more products have been rendered
valkas [14]

Answer:C. It makes it more difficult for the company to define an appropriate time period.

Explanation: Obsolete Items or products are products are no longer useful or relevant,it can be used to describe a product whose Quality has adversely depleted making it not useful.

With the information,since the products are fast becoming Obsolete than when compared to 10years ago,it makes it more difficult to determine or arrive at the appropriate time period for the company to keep the product before it becomes obsolete.

6 0
3 years ago
What is the argument in this formula? =AVERAGE(B11:H14) AVERAGE H11 B11:H14 B11
Whitepunk [10]

Answer:

The Answer is D. B11:H14

Explanation:

A got a good grade

8 0
3 years ago
"sally and harry both work at the local factory producing cars. sally earns $22 per hour working the day shift, and harry earns
Stels [109]

Night shift employee's always get paid more than day shiff

4 0
3 years ago
Read 2 more answers
When manufacturing cycle​ increases, ________. A. opportunity costs will decrease B. inventory carrying costs will increase C. o
professor190 [17]

Answer: B. inventory carrying costs will increase

7 0
3 years ago
Read 2 more answers
All of the following are TRUE about child abuse EXCEPT:
Simora [160]

A.

They don't need child abuse!!

5 0
3 years ago
Read 2 more answers
Other questions:
  • 9. Zeta Automotive ordered transmissions from the Alpha Transmission Company on May 7, 1990. The terms of sale were FOB destinat
    15·1 answer
  • Debit cards are connected to funds in your bank account. True or False
    5·1 answer
  • Consider the market for Ping golf clubs. Suppose the price of memberships at local golf courses increases. Assume memberships at
    7·1 answer
  • A manager must decide how many machines of a certain type to purchase. Each machine can process 100 customers per day. One machi
    11·1 answer
  • Some universities offer online degree programs, competing with traditional colleges based on the convenience of taking online co
    9·1 answer
  • Suppose the central bank in your country has stability of the GDP growth rate as its primary goal. Faced with a choice of having
    10·1 answer
  • What is one cost of avoiding insurance?
    9·1 answer
  • As a Cost and Management Consultant in the banking industry in Ghana, one of your highly esteemed clients, a top tier banking in
    8·1 answer
  • Assume that the corporate tax rate is 34% and the personal tax rate is 30%. The founders of a newly formed business are debating
    5·1 answer
  • madd, aa, and sadd are examples of: a. workplace-based drug education programs. b. voluntary health agencies. c. state education
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!