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. 1 19 Resi) Cost of mi ) Selling general and administrative (5 million) Operating (5 mi ) millions ) -0,9 -0. 2.0 4) (15

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. 1 19 Resi) Cost of mi ) Selling general and administrative (5 million) Operating (5 mi ) millions ) -0,9 -0. 2.0 4) (15 points) Using the data above, please answer the following two questions: On the basis of the 2011 operating margins for Walgreens and Rite Aid, is there evidence uggesting that economies of scale exist in the retail drugstore business? If so, are economiese ale realized in cost of goods sold or SG&A expenses? . 1 19 Resi) Cost of mi ) Selling general and administrative (5 million) Operating (5 mi ) millions ) -0,9 -0. 2.0 4) (15 points) Using the data above, please answer the following two questions: On the basis of the 2011 operating margins for Walgreens and Rite Aid, is there evidence uggesting that economies of scale exist in the retail drugstore business? If so, are economiese ale realized in cost of goods sold or SG&A expenses

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