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In YMBakery, the daily demand for bread is 100 loaves with probability 0.2, 120 loaves with probability 0.5, and 140 loaves with probability 0.3. YMBakery
In YMBakery, the daily demand for bread is 100 loaves with probability 0.2, 120 loaves with probability 0.5, and 140 loaves with probability 0.3. YMBakery buys each loaf at $0.6 and sells it at $1.3. At the end of the day, all remaining bread will be sold to a brewery at $0.1 per loaf. YMBakery can choose to buy 110 or 130 loaves every day. Which is an alternative?
a. $0.6
b. A demand for 140 loaves
c. $1.3
d. Buy 130 loaves
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