Kyle Store Sells K2 Skis -Use the Information in Scenario D

question 6

Multiple Choice

Kyle store sells K2 skis. The store makes a $200 profit per unit sold during the ski season, but it should take a $50 loss per unit if sold after the season is over. The following discrete probability distribution has been estimated for the season's demand.
$$\begin{array} { | c | c | } \hline \text { Demand } ( D ) & \text { Demand Probability } \\\hline 10 & 0.1 \\20 & 0.3 \\30 & 0.3 \\40 & 0.2 \\50 & 0.1 \\\hline\end{array}$$
-Use the information in Scenario D.2.What is the payoff with an order quantity (Q) of 40 units if the demand (D) is 30 units?

• A) Less than or equal to $2,000
• B) Greater than $2,000 but less than or equal to $4,000
• C) Greater than $4,000 but less than or equal to $6,000
• D) Greater than $6,000

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Definitions:

Nuanced Inferences

Making detailed and fine distinctions in interpreting information, often beyond the obvious.

Field-Independent

Field-independent individuals have the cognitive ability to focus on specific information or tasks without being significantly influenced by surrounding context or distractions.

Field-Dependent

A cognitive style where individuals are more likely to rely on external references for processing information and solving problems.

Studying Alone

The practice of learning or reviewing material by oneself without the direct involvement of teachers or peers.