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Question 2. (20 points) Each year the GreenLawn Hardware Store places one order for a line of luxury lawn mowers in February. The selling season
Question 2. (20 points) Each year the GreenLawn Hardware Store places one order for a line of luxury lawn mowers in February. The selling season for GreenLawn is March-September. The following probability distribution of demand is assumed by GreenLawn for the lawn mower: GreenLawn purchases the lawn mowers at $3,000 per unit, sells them at $4,250 per unit, and liquidates surplus (= not sold during March-September) lawn mowers in October for $2,500 per unit. (a) Suppose GreenLawn orders 4 lawn mowers. (1) What is the expected demand? (2) What is the expected quantity of sales? (3) What is the expected quantity of leftovers? (4) What is the expected quantity of unmet demand? (5) What is GreenLawn's in-stock rate or service level (in percentage)? (6) What is GreenLawn's fill rate (in percentage)? Choose the nearest integer. Question 2. (20 points) Each year the GreenLawn Hardware Store places one order for a line of luxury lawn mowers in February. The selling season for GreenLawn is March-September. The following probability distribution of demand is assumed by GreenLawn for the lawn mower: GreenLawn purchases the lawn mowers at $3,000 per unit, sells them at $4,250 per unit, and liquidates surplus (= not sold during March-September) lawn mowers in October for $2,500 per unit. (a) Suppose GreenLawn orders 4 lawn mowers. (1) What is the expected demand? (2) What is the expected quantity of sales? (3) What is the expected quantity of leftovers? (4) What is the expected quantity of unmet demand? (5) What is GreenLawn's in-stock rate or service level (in percentage)? (6) What is GreenLawn's fill rate (in percentage)? Choose the nearest integer
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