Foto Color is a Des Moines supplier of chemicals and equipment used by some photographic stores to p


Question: Foto Color is a Des Moines supplier of chemicals and equipment used by some photographic stores to process 35mm film. One product that Foto Color supplies is BC-6. Brad Meyer, president of Foto Color, normally stocks 11, 12, or 13 cases of BC-6 each week. For each case that Brad sells, he receives a profit of $35. A case of BC-6 costs Brad $56 and, like many photographic chemicals, has a very short shelf life. If a case is not sold by the end of the week Brad can sell it to a research facility for $10 per case. There is a probability of 0.45 of selling 11 cases, a probability of 0.35 of selling 12 cases, and a probability of 0.2 of selling 13 cases.

a) Find the recommended course of action?

b) If Brad is able to develop BC-6 with an ingredient that stabilizes BC-6 so it no longer has to be discarded, how would this change your recommended course of action?

Price: $2.99
Solution: The solution consists of 1 page
Deliverables: Word Document

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