Question 1 0 out of 1 points An oversea manufacture, Taoci King (TK), is scheduling its production of 400 porcelain tea sets for its U. retailer,...

I need help with this assignment. Thank you!

An oversea manufacture, Taoci King (TK), is scheduling its production of 400 porcelain tea sets for its U.S. retailer, Porcelain Queen (PQ). According to their contract, this batch of tea sets need to be delivered to PQ's shipping dock located at Qingdao Port before Nov 1st 00:00am for Thanksgiving / Christmas selling season. In the case of late delivery, PQ will charge TK $1,000 per day as penalty. For example, if TK delivers on Nov 2rd noon, PQ will charge $1,000*1.5=$1,500 as penalty.

TK does not know exactly how long it would take to product this batch of 400 tea sets due to yield uncertainty. Therefore, TK is trying to utilize historical data to estimate its production time. The historical production times for batches of similar tea sets are shown in Table 1 in Q4. Since these are similar tea sets, the average per-unit product time and the yield rate will be similar for this upcoming batch.

PQ will pay TK immediately by cash on Nov 1st 00:00am or on delivery, whichever is later: Even if TK delivers on Oct 30th 00:00am, TK still needs to wait until Nov 1st00:00am to get the payment. If TK delivers on Nov 2nd noon, however, the payment will be made on Nov 2nd noon. TK is relying on bank loan to start its production, which incurs $400 daily interest once the production starts and until paid using payment from PQ. For example, if TK starts production on Oct 30th noon and delivers on Nov 2nd00:00am, TK pays $400/day*2.5days = $1000 interest to the bank.

Please help TK to determine when to start the production. Hint: Apply newsvendor model for this problem. Consider "order quantity" as the time between "starting the production" and Nov 1st 00:00am, and "demand" as the actual production time for this batch.

If order quantity turns out to be larger than demand (i.e., TK finishes its production before Nov 1st 00:00am), how much it could have saved by ordering one unit less (i.e., by starting its production one day later)? This is the overage cost.

• Attachment 1
• Attachment 2

Question 10 out of 1 pointsAn oversea manufacture, Taoci King (TK), is scheduling its production of 400 porcelain tea sets for its U.S. retailer, Porcelain Queen (PQ). According to their contract, thisX batch of tea sets need to be delivered to PQ's shipping dock located at Qingdao Port before Nov 1st 00:00am for Thanksgiving / Christmas selling season. In the case oflate delivery, PQ will charge TK $1,000 per day as penalty. For example, if TK delivers on Nov 20 noon, PQ will charge $1,000*1.5=$1,500 as penalty.TK does not know exactly how long it would take to product this batch of 400 tea sets due to yield uncertainty. Therefore, TK is trying to utilize historical data to estimate itsproduction time. The historical production times for batches of similar tea sets are shown in Table 1 in Q4. Since these are similar tea sets, the average per-unit producttime and the yield rate will be similar for this upcoming batch.PQ will pay TK immediately by cash on Nov 1st 00:00am or on delivery, whichever is later: Even if TK delivers on Oct 30 00:00am, TK still needs to wait until Nov 1St00:00am to get the payment. If TK delivers on Nov 2n0 noon, however, the payment will be made on Nov 2n0 noon. TK is relying on bank loan to start its production, whichincurs $400 daily interest once the production starts and until paid using payment from PQ. For example, if TK starts production on Oct 30th noon and delivers on Nov 2nd00:00am, TK pays $400/day*2.5days = $1000 interest to the bank.Please help TK to determine when to start the production. Hint: Apply newsvendor model for this problem. Consider "order quantity" as the time between "starting theproduction" and Nov 1st 00:00am, and "demand" as the actual production time for this batch.If order quantity turns out to be larger than demand (i.e., TK finishes its production before Nov 1St 00:00am), how much it could have saved by ordering one unit less (i.e.,by starting its production one day later)? This is the overage cost.Question 20 out of 1 pointsxFollowing similar idea as in Q1, how much is the underage cost?Question 30 out of 1 pointsWhat is the critical fractile? Enter a number with two digits after decimal.X