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You are a buyer for the Really Useful Stuff web store. You buy seasonal clothing that has a relatively short selling season. You must place your order before the season begins because once the season starts, there will be no opportunity for a reorder to arrive before the season is over. Your forecast is 5,000 units in total; however, you must order by size. Based on prior sales history you have determined that as a percent to total the sizes breakdown as follows: Small 10%, Medium 30%, Large 35% and X-Large 25%. While these are the averages for the last 5 years of sales, each year in the past has varied and that variation follows a normal distribution. How would you use the Newsvendor model and the Critical Ratio to help you determine the proper order quantities for each size? What is the key component of the Critical Ratio that will be important to the determination of the order quantity? Explain completely.
 
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