The food engineers at Moria Foods have developed a new variety of banana they have named the "mayfly banana" which holds perfect ripeness for exactly one day before becoming a black-skinned sack of putrid mush.Which of these actions will result in a lower order quantity from the many retail establishments clamoring to stock up on this new foodstuff?

Question

Quizplus · Accepted Answer

A decrease in the salvage value of the mayfly bananas would result in a lower order quantity from retail establishments. If the bananas are not sold within their one-day window of ripeness, they will become unsellable and have to be discarded, leading to a loss of revenue for the retailers. Therefore, if the salvage value of the bananas decreases (i.e. the amount they can be sold for after they have become unsellable), retailers will be less likely to stock up on large quantities of the product.

The Food Engineers at Moria Foods Have Developed a New