A small grocery store sells fresh produce which it obtains


A small grocery store sells fresh produce, which it obtains from a local farmer. During the strawberry season, demand for fresh strawberries can be reasonably approximated using a normal distribution with a mean of 44 quarts per day and a standard deviation of 4 quarts per day. Excess costs run .30 cents per quart. The grocer orders 50 quarts per day.

a. What is the implied cost of shortage per quart?

Request for Solution File

Ask an Expert for Answer!!
Operation Management: A small grocery store sells fresh produce which it obtains
Reference No:- TGS01192778

Expected delivery within 24 Hours