Becky's cake and confections bake and decorate cakes for weddings. The ingredients for each cake cost Becky a total of $45, and she can sell her cakes for $180 a piece. Once the ingredients go bad, however, she has to throw them out. The cake business is intensely competitve, and Becky gets most of her customers through perosnal referrals. She estimates that not having the ingredients to make a requested cake will cost her appromiximately $50 in sales and goodwill. Becky estimates demands for her cakes in the table below. Generate a payoff table, and compute the expected value for each alternative. For how many cakes should Becky purchase ingredients? Show how to use equations step by step so I would have a better understanding.

In preparing for the upcoming holiday season, Fresh Toy Company (FTC) designed a new doll called The Dougie that teaches children how to dance. The fixed cost to produce the doll is $100,000. The variable cost, which includes material, labor, and shipping costs, is $32 per doll. During the holiday selling season, FTC will sell the dolls for $40 each. If FTC overproduces the dolls, the excess dolls will be sold in January through a distributor who has agreed to pay FTC $10 per doll. Demand for new toys during the holiday selling season is extremely uncertain. Forecasts are for expected sales of 60,000 dolls with a standard deviation of 15,000. The normal probability distribution is assumed to be a good description of the demand. FTC has tentatively decided to produce 60,000 units (the same as average demand), but it wants to conduct an analysis regarding this production quantity before finalizing the decision. (a) Determine the equation for computing FTC's profit for given values of the…

The Callaghan family owns 410 acres of farmland in Co. Cork on which they grow wheat and oats. Each acre of wheat costs €105 to plant, cultivate, and harvest; each acre of oats costs €210. The Bradleys have a budget of €52,500 for next year. The government limits the number of acres of oats that can be planted to 100. The profit from each acre of wheat is €300; the profit from each acre of oats is €520. The Callaghans want to know how many acres of each crop to plant in order to maximize their profit. iii. Represent the problem in graphical format and highlight the feasible region.

What is Jenny’s contribution margin per haircut? Jenny’s Cutting Station offers a new concept in haircuts; low cost and very quick. Set in a local mall, Jenny’s offers 15-minute haircuts for harried shoppers who do not have time for lengthy appointments. To ensure that the clients are in and out quickly, she schedules her 5 employees based on expected client traffic. Each of the employees is paid $1200 per month, with part of their pay coming from client tips. Jenny pays rent and overhead costs of $2000 per month on the facility. Because of the quick nature of the service, Jenny doesn’t have time to clean combs in between clients, so she uses a new comb for each customer, at a cost of $0.55 each. She also provides shampoo and conditioner for each client at a cost of $0.95 per client. The average price for a haircut is $12. Jenny pays herself $5000 per month.

Three friends are trying to predict who will make more money at work tomorrow. John works construction: he will make $250 tomorrow unless it rains, in which case he will make $0. Sara works in a restaurant: she will earn $100 if it is sunny, $200 if it is rainy, and $250 if the weather is average. Chris works in a warehouse, and he earns a flat rate of $200 per day, regardless of weather conditions. Suppose there is a 20% chance that tomorrow will be sunny, and 50% chance that the weather will be average, and a 30% chance of rain.    Determine tomorrow’s expected earnings for each of these 3 friends. Compute the standard deviation for Sara’s earnings.  Handwrite the solution

both sheets are for the same problem.