Embry LGMT683 Module 7.4 Additional Homework Exercise Latest 2016 sptember

by writings | Apr 6, 2019 | Uncategorized

Chapter 13 – Determining the Optimum Level of Product
Availability

Using the Sportmart DemoPreview the documentView in a new
window, the manager decided to conduct market research and, based on the
additional information she obtained from the research, she believes that the
standard deviation of demand can be reduced to 50 instead of 100. What is the
impact of profitability? What happens to profitability if the standard
deviation of demand increases to 150? What did you learn from this exercise?

Note: This is not a “Solver” problem. Just change the
Standard Deviation directly in Excel from 100 to 50 and then 150 to see the
impact on profitability.

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