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A local gas station has to place an order at the start of each month ( before they know true demand ) for a stack
A local gas station has to place an order at the start of each month before they know true demand for a stack of magazines to sell in the station. Assume that the gas station owner has developed a newsvendor model to analyze the problem. Suppose is the demand for magazines that month, and is the number of magazines purchased by the gas station at the start of the month. What is the amount of understock magazines?
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