1. Solve the game with the following pay-off matrix. (5 marks)
2. Solve the following game (clearly show all the steps). (10 marks)
3. A manufacturer uses Shs.N worth of an item during the year. Manufacturer estimated the ordering cost as Shs. 50 per order and holding costs as 12.5% of average inventory value. The total cost is estimated as Shs. 500. Find the;
i) Value of N. (4 marks)
ii) Optimal order size. (3 marks)
iii) Number of orders per year. (2 marks)
iv) Time period per order. (2 marks)
