Scenario Double Olive Oil. Ltd. is a producer of highquality Olive oil. The company buys raw Olives directly from large agricultural companies and renes them into Olive oil that it sells in the wholesale market. The company has a maximum input capacity of 180 short tons of raw Olives every day. The company cannot run at full capacity every day as it is required to shut down or reduce capacity for maintenance periods every year, and it experiences the occasional mechanical problem. The facility is expected to run at 93% capacity over the year [or on average 18D x 90% =162 short tons per day}. Double Olive Oil is planning to purchase its supply of raw Olives from three primary growers, Supplier A, Supplier El, and Supplier C. Purchase prices will not set until the orders are placed so Double Olive Oil will have to forecast purchase prices for the raw material and sales prices for the rened Olive oil. The contract is written such that Double Olive Oil is only required to commit to 80% of total capacity up front. Any amounts over that can be purchased only as