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Title: Dusty is evaluating two bids to supply fence hardware for the 5 acres of pasture that need to be ... Post by: madhumeta on Jan 30, 2018 Dusty is evaluating two bids to supply fence hardware for the 5 acres of pasture that need to be fenced.
Breezy submits a bid of 40 per unit with a defect rate of 3; Lady's bid is 50 per unit and their product manager estimates the defect rate to be around 0.5. If a section of fence fails, it costs an average of 500 in losses and herding costs to round up all of the capybaras. Dusty believes it will take 500 units to fence in this pasture configuration. The product manager's uncertainty has Dusty concerned; what defect rate for Lady would make Dusty indifferent between the two suppliers as far as total cost is concerned? A) 1 B) 0.5 C) 0.33 D) 0 Title: Dusty is evaluating two bids to supply fence hardware for the 5 acres of pasture that need to be ... Post by: dgonzalez228 on Jan 30, 2018 Content hidden
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