Question
Food For Less (FFL), a grocery store, is considering offering one hour photo developing in their store.The firm expects that sales from the new one
Food For Less (FFL), a grocery store, is considering offering one hour photo developing in their store.The firm expects that sales from the new one hour machine will be $150,000 per year.FFL currently offers overnight film processing with annual sales of $100,000.While many of the one hour photo sales will be to new customers, FFL estimates that 50% of their current overnight photo customers will switch and use the one hour service. The level of incremental sales associated with introducing the new one hour photo service isclosestto:
$150,000
$120,000
$130,000
$100,000
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