Question
Hadid company sells specialized equipment around the world. Use the following information to perform a reasonableness analytic Product A- Average Price of product (last year)
Hadid company sells specialized equipment around the world. Use the following information to perform a reasonableness analytic
Product A- Average Price of product (last year) [$10,000 per Product], Average # of sales per week (last year) [15 products sold per week], Price increase (decrease) of product (this year) [10%]
Product B- Average Price of product (last year) [$20,000 per Product], Average # of sales per week (last year) [20 products sold per week], Price increase (decrease) of product (this year) [15%]
Product C- Average Price of product (last year) [$30,000 per Product], Average # of sales per week (last year) [3 products sold per week], Price increase (decrease) of product (this year) [-33%]
Assume the economy is the same as last year and that sales in the industry are consistent with prior year. There are 52 weeks in the year and the company is open every week of the year.
i) Using a reasonableness analytic how much total revenue is expected from Product B this year?
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