Demand probability of demand

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13-19. Ernie's Fish Market sells fresh trout. Trout are bought in Denver at $1.00 per fish (including transportation costs) and sold for $1.50. Any trout left over at the end of the week are sold to a cat food plant for $0.20 per fish. According to past experience, weekly demand for trout has been:
Demand Probability of Demand
15 0.10
16 0.20
17 0.40
18 0.20
19 0.10

a. Assuming that there is no goodwill cost involved for unmet demand, construct a payoff table for the various demand and stocking quantities.

Reference no: EM13664010

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