Q.3. An international Gift shop needs to decide in august how many holiday mugs to order. Because the mugs are dated those that are unsold by January 15 are considered a loss and can be sold at a lower price. These premium mugs sell for $22.95 and cost $6.75 each. The Gift shop is uncertain of the demand. The demand is assumed to follow a normal distribution with mean of 15,000, and a standard deviation of 1750. Any unsold mugs are sold for $5 each. The Gift shop is considering to order 11,000, 15,000, or 19,000 mugs. Please answer the following: -6 marks) a. Approximate the demand using ES-M approximation b. With the demand being approximated by three points (part a) draw the respective decision tree for the problem c. Using EMV, how many mugs should be ordered. Note: solve for the profit at each out come and take the EMV that represent the highest expected profit Q.3. An international Gift shop needs to decide in august how many holiday mugs to order. Because the mugs are dated those that are unsold by January 15 are considered a loss and can be sold at a lower price. These premium mugs sell for $22.95 and cost $6.75 each. The Gift shop is uncertain of the demand. The demand is assumed to follow a normal distribution with mean of 15,000, and a standard deviation of 1750. Any unsold mugs are sold for $5 each. The Gift shop is considering to order 11,000, 15,000, or 19,000 mugs. Please answer the following: -6 marks) a. Approximate the demand using ES-M approximation b. With the demand being approximated by three points (part a) draw the respective decision tree for the problem c. Using EMV, how many mugs should be ordered. Note: solve for the profit at each out come and take the EMV that represent the highest expected profit