Matching Supply with Demand: An Introduction to Operations Management 2nd Edition by Cachon Terwiesch

تمرين 2

(Two Products) Consider two products, A and B. Demands for both products are normally distributed and have the same mean and standard deviation. The coefficient of variation of demand for each product is 0.6. The estimated correlation in demand between the two products is -0.7. What is the coefficient of variation of the total demand of the two products?