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A steak restaurant is considering a new butcher across town to supply their meat. The restaurant estimates demand for steaks each day is normally distributed
A steak restaurant is considering a new butcher across town to supply their meat. The restaurant estimates demand for steaks each day is normally distributed with a mean of 110 and standard deviation of 30. The butcher charges the restaurant $25 for each steak and the restaurant can sell each for $40. However, if the restaurant orders too many steaks, leftover steaks will have to be discarded at the end of the night and the restaurant has to pay a $2.50 tax (per discarded steak) to the city, imposed to encourage restaurants to reduce waste
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