Joes coffee shoppe has fresh doughnuts delivered each


Joe's Coffee Shoppe has fresh doughnuts delivered each morning. Daily demand for plain doughnuts is approximately normal with a mean of 200 and a standard deviation of 15. Joe pays $1.20 per dozen and has a standing order for 16 dozen. Joe and the staff eat any leftovers. What is the implied underage cost?

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Operation Management: Joes coffee shoppe has fresh doughnuts delivered each
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