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Billy's Bakery bakes fresh bagels each morning. The daily demand for bagels has been estimated as a Normal random variable with mean 135 and standard deviation 10. The bagels cost $1.2 to make, and they are sold $2.5 each. Bagels unsold at the end of the day are purchased by a nearby charity soup kitchen for 80 cents each. However, Billy's must transport the unsold bagels to the kitchen at a cost of 15 cents each. How many bagels should Billy's bake at the start of each day to balance shortage and excess costs?
A) 214B) 122C) 185D) 176E) 140
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Illustrate what are some or possible options for those organizations that lack necessary skills in this area.
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