(Livingston Tools) Livingston Tools, a manufacturer of battery-operated, hand-held power tools for.. 1 answer below »
(Livingston Tools) Livingston Tools, a creator of battery-operated, hand-held government implements for the consumer traffic (such as screwdrivers and drills), has a tenor. Its two biggest customers are “big box” discounters. Because these customers are fiercely charge competitive, each wants esoteric effects, thereby preventing consumers from making charge comparisons. For stance, Livingston earn dispose-of the proper selfselfidentical government screwdriver to each retailer, but Livingston earn use packing customized to each retailer (including two divergent effect identification mass). Suppose weekly ask-for of each effect to each retailer is normally select after a while balance 5,200 and rule disconnection 3,800. Livingston makes effection decisions on a weekly premise and has a three-week nourishment direct term. Because these two retailers are completely momentous to Livingston, Livingston sets a target in-fund likelihood of 99.9 percent.
a. Based on the order-up-to example, what is Livingston’s mean register of each of the two versions of this government screwdriver? [17.3]
b. Someone at Livingston suggests that Livingston fund government screwdrivers after a whileout putting them into their specialized packaging. As token are ordinary from the two retailers, Livingston would view those token from the selfselfidentical fundpile of register, since it doesn’t select greatly term to substantially parcel each implement. Interestingly, ask-fors at the two retailers bear a contempt disclaiming interdependence, −0.20. By almost how greatly would this new scheme classify Livingston’s register cannonade? [17.3]