MC algo 10-3 Side Effects Bubbly Waters currently sells 520 Class A spas, 670 Class C spas, and 420 deluxe model spas each year. The firm is considering adding a mid-class spa and expects that if it does, it can sell 595 units per year. However, if the new spa is added, Class A sales are expected to decline to 335 units while the Class C sales are expected to increase to 695. The sales of the deluxe model will not be affected. Class A spas sell for an average of $16,300 each. Class C spas are priced at $8,200 and the deluxe models sell for $19,200 each. The new mid-range spa will sell for $10,200. What annual sales figure should you use in your analysis? Multiple Choice $8,879.500 $9,289,500 $2,810,500 $3,258,500
MC algo 10-3 Side Effects Bubbly Waters currently sells 520 Class A spas, 670 Class C spas, and 420 deluxe model spas each year. The firm is considering adding a mid-class spa and expects that if it does, it can sell 595 units per year. However, if the new spa is added, Class A sales are expected to decline to 335 units while the Class C sales are expected to increase to 695. The sales of the deluxe model will not be affected. Class A spas sell for an average of $16,300 each. Class C spas are priced at $8,200 and the deluxe models sell for $19,200 each. The new mid-range spa will sell for $10,200. What annual sales figure should you use in your analysis? Multiple Choice $8,879.500 $9,289,500 $2,810,500 $3,258,500
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
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Transcribed Image Text:MC algo 10-3 Side Effects
Bubbly Waters currently sells 520 Class A spas, 670 Class C spas, and 420 deluxe model spas each year. The firm is considering adding a mid-class spa
and expects that if it does, it can sell 595 units per year. However, if the new spa is added, Class A sales are expected to decline to 335 units while the
Class C sales are expected to increase to 695. The sales of the deluxe model will not be affected. Class A spas sell for an average of $16,300 each.
Class C spas are priced at $8,200 and the deluxe models sell for $19,200 each. The new mid-range spa will sell for $10,200. What annual sales figure
should you use in your analysis?
Multiple Choice
$8,879,500
$9,289,500
$2,810,500
$3,258,500
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