Question: The J&B shop sells calendars depicting a different Colonial scene each month. The once-a-year order for each year calendar arrives in September. From past experience, the September-to-July demand for the calendars can be approximated by a normal probability distribution with \(\mu \) = 500 and \(\sigma \) = 120. The calendars cost $1.50 each, and J&B sells them for $3.00 each.

a. If J&B throws out all unsold calendars at the end of July (i.e., salvage value is zero) how many calendars should be ordered?

b. Of J&B reduces the calendar price to $1 at the end of July and can sell all surplus calendars at this price, how many calendars should be ordered?