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Scenario: Calendar Kiosk must decide how many of next year's Nature Calendars to order by September. The calendars cost $ 6 . 5 0 and
Scenario: Calendar Kiosk must decide how many of next year's Nature Calendars to order by September. The calendars cost $ and are sold for $ Expected sales of the calendar based upon past years data is approximately calendars. Assume that demand can be approximated by a Poisson distribution. Order quantities are in units of ie there are calendars per box At the end of January, unsold boxes ie unopened of calendars may be returned at the discounted refund of $ per calendar $ per box To minimize the risk of stockouts, Calendar Kiosk typically orders of the calendars each year. Ignore discounting.
If the goal of the kiosk is to maximize expected profit, determine the optimal order quantity remember that they can only order in quantities of
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