Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

XYZ food products Ltd. want to determine how many kg. of shrikhand to stock on daily basis. Historical data has generated the following pattern of

  1. XYZ food products Ltd. want to determine how many kg. of shrikhand to stock on daily basis. Historical data has generated the following pattern of demand

Units sold per day

180

181

182

183

184

185

186

No. of days

2

8

10

40

20

15

5

Assume that the stock levels are restricted to the range 180-186kgs. And that shrikland left unsold at the end of the day must be disposed of due to inadequate refrigeration facilities. Shrikland costs Sh.6 per kg to the company and it sells for Sh.8 per kg

  1. Determine the action alternatives associated with the maximum expected profit(5marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance For Non Financial Managers

Authors: Pierre G. Bergeron

5th Edition

0176104070, 9780176104078

More Books

Students also viewed these Finance questions