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Sallys Silk Screening produces specialty T-shirts that are primarily sold at special events. She is trying to decide how many to produce for an upcoming

Sallys Silk Screening produces specialty T-shirts that are primarily sold at special events. She is trying to decide how many to produce for an upcoming event. During the event, Sally can sell T-shirts for $20 apiece. However, when the event ends, any unsold T-shirts are sold for $4 apiece. It costs Sally $8 to make a specialty T-shirt. Sallys estimate of demand is the following: DEMAND PROBABILITY 300 0.05 400 0.10 500 0.40 600 0.30 700 0.10 800 0.05 What is the service rate (or optimal fractile)? Note: Round your answer to 2 decimal places. How many T-shirts should she produce for the upcoming event

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