6.14 A retail grocer has a daily demand X for a certain food sold by the pound,...
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6.14 A retail grocer has a daily demand X for a certain food sold by the pound, such that X (measured in hundreds of pounds) has probability density function
(He cannot stock over 100 pounds.) The grocer wants to order 100k of food on a certain day. He buys the food at 6¢ per pound and sells it at 10¢
per pound. What value of k will maximize his expected daily profit?
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Related Book For
Probability And Statistics For Engineers
ISBN: 9781133006909
5th Edition
Authors: Richard L Scheaffer, Madhuri Mulekar, James T McClave, Cecie Starr
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