Question: The probability distribution for demand for a product is approximately Normal with a mean of 240 units per week and a standard deviation of 40

The probability distribution for demand for a product is approximately Normal with a mean of 240 units per week and a standard deviation of 40 units.

a. How many units should a retailer have in stock to ensure a 5% or less chance of running out during the week?

b. What is the mean and standard deviation for daily sales (consider 5 days/week)?

c. What is the mean and standard deviation for annual sales (consider 52 weeks/year)?

d. What is the probability of annual sales exceeding 13,200 units (consider 52 weeks/year)?

e. What is the probability of annual sales exceeding 13,000 units (consider 52 weeks/year)?

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