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Brilliant Color is a small supplier of chemicals and equipment that are used by some photographic stores to process 35mm film. One product that...
1.Brilliant Color is a small supplier of chemicals and equipment that are used by some photographic stores to process 35mm film. One product that Brilliant Color supplies is BC-6. John Kubick, president of Brilliant Color, normally stocks 11, 12, or 13 cases of BC-6 each week. For each case that John sells, he receives a profit of $35. Like many photographic chemicals, BC-6 has a very short shelf life, so if a case is not sold by the end of the week, John must discard it. Since each case costs John $56, he loses $56 for every case that is not sold by the end of the week. There is a probability of 0.45 of selling 11 cases, a probability of 0.35 of selling 12 cases, and a probability of 0.2 of selling 13 cases.
(a) Construct a decision table for this problem. Include all conditional values and probabilities in the table.
(b) What is your recommended course of action?
(c) If John is able to develop BC-6 with an ingredient that stabilizes it so that it no longer has to be discarded, how would this change your recommended course of action?
