Jean Clark is the manager of the Midtown Saveway-Grocery Store. She now needs to replenish her supply of strawberries. Her regular supplier can provide as many cases as she wants. However, because these strawberries already are very ripe, she will need to sell them tomorrow and then discard any that remain unsold. Jean estimates that she will be able to sell 12, 13, 14, or 15 cases tomorrow. She can purchase the strawberries for $7 per case and sell them for $18 per case. Jean now needs to decide how many cases to purchase. Jean has checked the store’s records on daily sales of strawberries. On this basis, she estimates that the prior probabilities are 0.1, 0.3, 0.4, and 0.2 for being able to sell 12, 13, 14, and 15 cases of strawberries tomorrow. a. Develop a decision analysis formulation of this problem by identifying the decision alternatives, the states of nature, and the payoff table. b. How many cases of strawberries should Jean purchase if she uses the maximin payoff criterion? c. How many cases should be purchased according to the -maximum likelihood criterion? d.How many cases should be purchased according to Bayes’ -decision rule?
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
Jean Clark is the manager of the Midtown Saveway-Grocery Store. She now needs to replenish her
supply of strawberries. Her regular supplier can provide as many cases as she wants. However,
because these strawberries already are very ripe, she will need to sell them tomorrow and then
discard any that remain unsold. Jean estimates that she will be able to sell 12, 13, 14, or 15 cases
tomorrow. She can purchase the strawberries for $7 per case and sell them for $18 per case. Jean
now needs to decide how many cases to purchase. Jean has checked the store’s records on daily
sales of strawberries. On this basis, she estimates that the prior probabilities are 0.1, 0.3, 0.4, and 0.2
for being able to sell 12, 13, 14, and 15 cases of strawberries tomorrow.
a. Develop a decision analysis formulation of this problem by identifying the decision
alternatives, the states of nature, and the payoff table.
b. How many cases of strawberries should Jean purchase if she uses the maximin payoff
criterion?
c. How many cases should be purchased according to the -maximum likelihood criterion?
d.How many cases should be purchased according to Bayes’ -decision rule?
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