Using the information in Exhibit 12.3, what Analytic Solver Platform function should be used in cell D8 and copied to cells D9:D21 of the MODEL sheet to compute daily demand?
A) =PsiDiscrete($E$6:$E$13, $F$6:$F$13)
B) =PsiHypergeo($E$6:$F138)
C) =PsiBinomial($E$6, $F$13)
D) =PsiCustom(Data!$E$6, $F$13)

Question

Quizplus · Accepted Answer

The PsiDiscrete function should be used to compute daily demand since the demand values are discrete and provided in a table. This function calculates the probability of each demand value given the associated probabilities. The range of demand values is in cells E6:E13, and the associated probabilities are in cells F6:F13. Therefore, cell D8 should contain the formula =PsiDiscrete($E$6:$E$13, $F$6:$F$13), which can then be copied to cells D9:D21 to calculate the daily demand for each day of the planning horizon.

Using the Information in Exhibit 12