Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Discuss the concepts of over- and understoring and describe their relationship to the Index of Retail Saturation (IRS).
Transcribed Image Text:Retail Location Theories
• Index of retail saturation (IRS): Ratio of
demand for a product divided by available
supply
IRS = (H x RE) /RF
%3D
IRS - Index of retail saturation for an area
• H- Number of households in the area
RE - Annual retail expenditures for a particular line of trade per household in the
area
RF - Square footage of retail facilities of a particular line of trade in the area
LO 4
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