What is the optimal stocking level

Assignment Help Business Management

Reference no: EM131259815

Henrique Correa's bakery prepares all its cakes between 4 a.m. and 6 a.m. so they will be fresh when customers arrive. Day-old cakes are virtually always sold, but at a 50% discount off the regular $10 price.

The cost of baking a cake is $6, and demand is estimated to be normally distributed, with a mean of 25 and a standard deviation of 4. What is the optimal stocking level?

Reference no: EM131259815

Questions Cloud

What are the total annual holding costs of stock : What is the economic order quantity (EOQ) for Kona coffee beans? - What are the total annual holding costs of stock for Kona coffee beans?

How many pounds should she order each day : Cynthia believes that demand follows the normal distribution, with a mean of 100 pounds and a standard deviation of 15 pounds. How many pounds should she order each day?

Define typical attacks make reference to corresponding layer : With limited time and resources your manager wants everyone to suggest the structure of a network defense system to protect the computers and the network. Since this is an open discussion if your favorite idea has been discussed "to death" pick th..

Companies recognize revenue for the operations : When should each of the following companies recognize revenue for the following operations? Sam’s Club collects annual membership fees from customers. Wall Street Journal receives advertising revenues in advance from Banco do Brasil, for an ad campai..

What is the optimal stocking level : The cost of baking a cake is $6, and demand is estimated to be normally distributed, with a mean of 25 and a standard deviation of 4. - What is the optimal stocking level?

Explain the challenges associated with each trend : Evaluate the challenges associated with each trend and ways to overcome them. Leadership, governance, and the role of a healthcare chief information officer (CIO).

What is the cost of underestimating demand for each program : What is the cost of underestimating demand for each program? - What is the overage cost per program? - How many programs should be ordered per game?

Analysis of color and dehydration of food product report : Complete a Analysis of Color & Dehydration of food product project report - Make a moisture ratio versus drying time diagram and table(experimental data only) and follow the diagram to analysis color.

List the capacity residual capacity and flow across each cut : Suppose that we wish to partition an undirected graph into two components with the minimum number of arcs between the components. HoW, would you solve this problem?

User Account

All Pages