1. The problem statement, all variables and given/known data The cost function: E(Cost)=E(F-LS)3 F is for Finished goods L is for Lambda S is for Sales After expanding the function, what assumption minimized this function with respect to F? 3. The attempt at a solution F3-3F2LS+3F(LS)2-(LS)3 I know that I need to identify the terms that include both sales and inventories. The sales terms are the information needed for minimization. Any ideas? Thanks!