Jeff sells the New York Times Sunday newspaper at a city corner near several churches. He sells each newspaper for $6.50 after purchasing them for $4.00. Any unsold newspaper can be returned to the New York Times for a $0.75 credit. Jeff expects demand on Sunday to be 75, 100, 125, or 150 newspapers and would like to order one of these four quantities from the New York Times. If the Jeff uses the Hurwicz criterion with a = 0.7, how many newspapers will he order?
A)150
B)100
C)75
D)125

Question

Quizplus · Accepted Answer

The Answer of Jeff sells the New York Times Sunday newspaper at a city corner near several churches. He sells each newspaper for $6.50 after purchasing them for $4.00. Any unsold newspaper can be returned to the New York Times for a $0.75 credit. Jeff expects demand on Sunday to be 75, 100, 125, or 150 newspapers and would like to order one of these four quantities from the New York Times. If the Jeff uses the Hurwicz criterion with a = 0.7, how many newspapers will he order?
A)150
B)100
C)75
D)125

Jeff Sells the New York Times Sunday Newspaper at a City