NOLA Electronics sells computer parts for self-assembly to university students. One of the suppliers is releasing a new hard drive, the HD22. NOLA Electronics spends $340 to buy each unit of HD22. Each unit will be sold to the students for $500. The procurement lead time is long, and the life cycle of this product is short, because of which NOLA Electronic will only get to place a single order for the HD22. Using prior sales data, it is forecasted that the demand follows a normal distribution with a mean of 1,050 units and standard deviation 600 units. It is assumed that, after the selling season, all remaining inventory for HD22 will be sold to the students at a very attractive discounted price of $200. a. What is the underage (marginal benefit) and the overage cost (marginal cost) for HD22? b. What is the profit-maximizing order quantity for HD22? What would be the in-stock probability if NOLA Electronics ordered the profit- maximizing quantity as found in part c? d. Assume that NOLA Electronics orders 900 HD22. What would be the in-stock probability now? An American airline offers two fare classes, with the lower-class fare being $250 and the higher- class fare begin $600. If the demand for the higher fare class follows a normal distribution with mean 200 and standard deviation 50, what is the profit-maximizing protection level for higher fare class?