← Dongwook Shin · Teaching
Newsvendor · inventory under uncertainty
Mr. Chan's news-stand · 20 trading days
Order once each morning. Demand arrives after.
He pays
$2.00
per copy, wholesale
Scrap value
$0.50
unsold, end of day
This is Mr. Chan's first day of trading, so there is no sales
history to go on. You have been advised to order 250 copies.
The ledger
No trading yet. Place this morning's order.