Hertz Donuts sells artisanal donuts for $25 per dozen to unsuspecting hipsters.It costs them $8 per dozen to make donuts and any unsold donuts are sold as "Oldies But Goodies" for $5 per dozen the next day (or two, no one really pays attention to the sell-by dates).The demand pattern's probability distribution is displayed in the table. If they elect to make 4 dozen donuts per day what is their expected profit?
A)$46.70
B)$65.10
C)$68.00
D)$80.20

Question

Hertz Donuts sells artisanal donuts for $25 per dozen to unsuspecting hipsters.It costs them $8 per dozen to make donuts and any unsold donuts are sold as "Oldies But Goodies" for $5 per dozen the next day (or two, no one really pays attention to the sell-by dates).The demand pattern's probability distribution is displayed in the table.  If they elect to make 4 dozen donuts per day what is their expected profit?
A)$46.70 
B)$65.10 
C)$68.00 
D)$80.20

Quizplus · Accepted Answer

The Answer of Hertz Donuts sells artisanal donuts for $25 per dozen to unsuspecting hipsters.It costs them $8 per dozen to make donuts and any unsold donuts are sold as "Oldies But Goodies" for $5 per dozen the next day (or two, no one really pays attention to the sell-by dates).The demand pattern's probability distribution is displayed in the table.  If they elect to make 4 dozen donuts per day what is their expected profit?
A)$46.70 
B)$65.10 
C)$68.00 
D)$80.20

Hertz Donuts Sells Artisanal Donuts for $25 Per Dozen to Unsuspecting