Multiple Choice
A bakery wants to determine how many trays of doughnuts it should prepare each day. Demand is normal with a mean of 5 trays and standard deviation of 1 tray. If the owner wants a service level of at least 95% how many trays should he prepare (round to the nearest whole tray) ? Assume doughnuts have no salvage value after the day is complete.
A) 5
B) 4
C) 6
D) 7
E) unable to determine with the above information
Correct Answer:
Verified
Correct Answer:
Verified
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