Calculus: Early Transcendentals
Calculus: Early Transcendentals
8th Edition
ISBN: 9781285741550
Author: James Stewart
Publisher: Cengage Learning
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Question 12 If y = e^(x^2), then it can be shown that dy/dx = 2xe^(x^2). Using this,
lim x→−1 (e^(x^2)− e)/(x + 1) =
(a) −2 (b) −2e (c) −2e^−1 (d) ∞ (e) none of these

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Betty runs a toy store. Each toy costs Betty $4 and sells for $10 (so the gross profit per
unit sold is $6). Daily demand varies according to the following table:

Demand Probability
90 0.64
100 0.24
110 0.12

At the beginning of every day, Betty replenishes shelves with 100 toys (i.e., there are 100
toys for sale every day). If daily demand is less than 100, an inventory holding cost of
$0.10 is charged for each toy that is not sold. However, if daily demand is greater than
100, a stockout occurs, and a shortage cost of $0.90 is charged for each unit of demand
that cannot be satisfied. Unsatisfied demand is lost.

(a) Set up intervals of random numbers that can be used to simulate daily demand.

(b) Sketch a simulation table and perform a simulation for 9 days. Use the random
numbers 0.76, 0.26, 0.77, 0.57, 0.87, 0.35, 0.50, 0.56, and 0.90 to generate
simulated values for daily demand for those 9 days. Based on this sample of 9
days, what is the average daily net profit and service level (the latter is measured
as a percentage of total demand that can be satisfied)? 

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Follow-up Questions
Read through expert solutions to related follow-up questions below.
Follow-up Question

Betty runs a toy store. Each toy costs Betty $4 and sells for $10 (so the gross profit per
unit sold is $6). Daily demand varies according to the following table:

Demand Probability
90 0.64
100 0.24
110 0.12

At the beginning of every day, Betty replenishes shelves with 100 toys (i.e., there are 100
toys for sale every day). If daily demand is less than 100, an inventory holding cost of
$0.10 is charged for each toy that is not sold. However, if daily demand is greater than
100, a stockout occurs, and a shortage cost of $0.90 is charged for each unit of demand
that cannot be satisfied. Unsatisfied demand is lost.

(a) Set up intervals of random numbers that can be used to simulate daily demand.

(b) Sketch a simulation table and perform a simulation for 9 days. Use the random
numbers 0.76, 0.26, 0.77, 0.57, 0.87, 0.35, 0.50, 0.56, and 0.90 to generate
simulated values for daily demand for those 9 days. Based on this sample of 9
days, what is the average daily net profit and service level (the latter is measured
as a percentage of total demand that can be satisfied)? 

Solution
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by Bartleby Expert
SEE SOLUTION
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