Question

Demand for jelly doughnuts on Saturdays at Don's Doughnut Shoppe is shown in the following table. Relative Demand Relative Demand (dozens) (dozens) Frequency Frequency .10 19 01 25 20 .05 26 11 21 12 27 10 28 22 04 18 29 02 24 .14 a-1. Determine the optimal number of doughnuts, in dozens, to stock if labor, materials, and overhead are estimated to be $3.35 per dozen, doughnuts are sold for $4.70 per dozen, and leftover doughnuts at the end of each day are sold the next day at half price. (Round your answer to the nearest whole number.) s Optimal number of doughnuts a-2. What is the resulting service level? (Round your answer to 2 decimal places.) Service level

Answer 1

Solution: we wrl rst lalulate te cumulative Hrere fore ,we have Demands (Dogen) kelative Cumulative 19 0.01 O.01 0.06 (-0.05+0.01) 0.10 (- 0.06+0. 12) 0.86 (= 0-18+0.10) (=0.36+0.13) E0.490.14) A.0-63+0.10) 60.43+0-11) (0.84+0.1) f0-94 +0.04) 0.18+0.02) 20 O.05 0.12 0.18 O.13 22 33 0.49 0.14 0.63 & 5 O.10 0.73 26 0.11 O.84 0.10 O-94 O.04 0.18 0.02 1 Noww, Determine te semuice lovel Sし Cct Ce - Revenue-Cest tost TO43.35 41.35 saliogye - 43.85-キ449% value Lost Ce (uest exceis 1-35 Thus SL = 0.5t4 1+ 1.35 from above lalole we see tat beliveen 23 aud 24 uints 0.57 for umnulatPe Noio to stock 24 uint (a1) optind Lnatiory no. de 24 nt senuuce lwel Cunulative (az) 0.63

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