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Motorola is planning to design a key component for its next-generation product with Solectrics. Motorola will integrate the component with some software and then sell
Motorola is planning to design a key component for its next-generation product with Solectrics. Motorola will integrate the component with some software and then sell it to consumers. Given the short life cycles of such products and the long lead times quoted by Solectrics, Motorola only has one opportunity to place an order with Solectrics prior to the beginning of its selling season. Motorola's demand during the season is normally distributed with a mean of 1,000 and a standard deviation of 600. Solectrics's plans to sell the component for $72 per unit to Motorola. Motorola incurs essentially no cost associated with the software integration and handling of each unit. Motorola sells these units to consumers for $121 each, Motorola can sell unsold inventory at the end of the season in a secondary electronics market for $50 each. What is the probability that Motorola's demand will be within 25% of its forecast? 0.42 0.6628 0.3372 0.3256 Motorola is planning to design a key component for its next-generation product with Solectrics. Motorola will integrate the component with some software and then sell it to consumers. Given the short life cycles of such products and the long lead times quoted by Solectrics, Motorola only has one opportunity to place an order with Solectrics prior to the beginning of its selling season. Motorola's demand during the season is normally distributed with a mean of 1,000 and a standard deviation of 600. Solectrics's plans to sell the component for $72 per unit to Motorola. Motorola incurs essentially no cost associated with the software integration and handling of each unit. Motorola sells these units to consumers for $121 each, Motorola can sell unsold inventory at the end of the season in a secondary electronics market for $50 each. What is the probability that Motorola's demand will be within 25% of its forecast? 0.42 0.6628 0.3372 0.3256
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