Megley Cheese Company is a small manufacturer of several different cheese products.;One of the products is a cheese spread that is sold to retail outlets.;Jason Megley must decide how many cases of cheese spread to manufacture each month.;The probability that the demand will be six cases is 0.1, for 7 cases is 0.3, for 8 cases is 0.5, and for 9 cases is 0.1.;The cost of every case is $45, and the price that Jason gets for each case is $95.;Unfortunately, any cases not sold by the end of the month are of no value, due to spoilage.;How many cases of cheese should Jason manufacture each month?
Paper#33269 | Written in 18-Jul-2015Price : $25