Burlingham Mills produces denim cloth that it sells to jeans manufacturers. It is negotiating a contract with
Question:
Burlingham Mills produces denim cloth that it sells to jeans manufacturers. It is negotiating a contract with Troy Clothing Company to provide denim cloth on a weekly basis. Burlingham has established its monthly available production capacity for this contract to be between 0 and 600 yards, according to the following probability distribution:
f1x2 =
x 180,000
, 0 … x … 600 yd.
Troy Clothing’s weekly demand for denim cloth varies according to the following probability distribution:
Demand (yd.) Probability 0 .03 100 .12 200 .20 300 .35 400 .20 500 .10 1.00 Simulate Troy Clothing’s cloth orders for 20 weeks and determine the average weekly capacity and demand. Also determine the probability that Burlingham will have sufficient capacity to meet demand.
LO.1
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