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Business, 29.11.2020 14:50 nikejose11

Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. Store A purchases the product for $10 each unit and sells each for $25. Inventory is salvaged for $5. What is its maximum profit? a. $10,500
b. $8,500
c. $7,500
d. $6,000

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