Question
Company H incurs a cost of $250 to produce one unit of a headphone. The company sells the headphone at the retail price of $950.
Company H incurs a cost of $250 to produce one unit of a headphone. The company sells the headphone at the retail price of $950. The brand image of the company and the sound quality of the product create a perceived value of $1,250 for its customers. In this scenario, what is the economic value created?
| a. | $1,250 | |
| b. | $1,000 | |
| c. | $300 | |
| d. | $700 |
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Financial Management In The Sport Industry
Authors: Matthew T Brown, Daniel Rascher, Mark S Nagel, Chad McEvoy
2nd Edition
9781621590118
