Question
Texas Rotisserie Chicken Ltd. sells pre-packed food. The company needs to know how many packs of Caesar salad to have at hand each day. Each
Texas Rotisserie Chicken Ltd. sells pre-packed food. The company needs to know how many packs of Caesar salad to have at hand each day. Each pack costs £ 2.40 and is sold to customers for £ 3.10. Unsold packs of Caesar salad are worthless at the end of the day with the exception of those packs that are stored in a shop fridge and collected by a supplier every evening. The capacity of the fridge is 80 packages. The following demands were found after studying the last three months\' sales:
100 packs – 10 % of the time
150 packs – 10 % of the time
200 packs – 15 % of the time
250 packs – 40% of the time
300 packs – 25% of the time
Every morning Texas Rotisserie Chicken orders Caesar salad from a supplier that offers only a shipment containing 50 packs (for example, 150 packs consist of 3 shipments). Delivery costs of one shipment are £ 15, processing costs of each order are £ 4.
Required:
Calculate the number of packs of Caesar salad that would maximize Texas Rotisserie Chicken\'s daily profit.
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