Segment size = 60 million (<15 yrs) %3D Segmentation Adoption Percentage 35% Purchase Behavior = $500 x 1 time purchase %3D Profit margin % = 10% Fixed Cost = $50M %3D Cor
Segment size = 60 million (<15 yrs) %3D Segmentation Adoption Percentage 35% Purchase Behavior = $500 x 1 time purchase %3D Profit margin % = 10% Fixed Cost = $50M %3D Cor
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
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
Transcribed Image Text:Profitable Segments
Segment size = 60 million (<15 yrs)
Segmentation Adoption Percentage 35%
Purchase Behavior = $500
x 1 time purchase
%3D
Profit margin % = 10%
• Fixed Cost = $50M
Conatoik AuStut
Is this segment profitable?
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