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Information about the separate DVDS and the packages follows en e uSrREfl Mith OvDy Gningicva Manvdain ard Canvarsational Mandarin It is introduring a third DVDD
Information about the separate DVDS and the packages follows en e uSrREfl Mith OvDy Gningicva Manvdain ard Canvarsational Mandarin It is introduring a third DVDD Reading Chinese Characters. It has decided to market its new DVD in two dilferent packages grouping the Reading Chinese Characters DVD with each of the other two language DVDS Selling Price DVD Beginning Mandarin (BegM) Conversatonal Mandann (ConM) 63 Required 106 Reading Chinese Characters (RCC) 27 BegM RCC 70 ConM RCC 125 i Required each DVD in that package using Using the selling pnces, allocate revenues trom the BeaM+RCC package the stand-alone method,4 the incremental method, and (c) the Shapley value method the stand-alone method; each VD in that package using Using the selling pnices, allocate revenues from the ConM RCC package ) the incremental method, in either order; and (c) the Shapley value method. Which method is most approprinte tor allocating revenues among the DVDS? Why Requirement 1. Using the selling prices, allocate revenues from the BegM+RCC package to cach DVD in that package using (a) the stand-alone method. (b) the incremental method, and (c) the Shapley value method (Round your answers to t e nearest cent BeaM RCC (a) Sland-alone (b) Incremental BegM primary user RCC primary user (c) Shapky Requirement 2. Using the selling prices, allocate revenues from the ConM RCC package to cach DVD in that package using (a) the stand-alone method, (b) the incremental method, in cither order, and (c) the Shapley value method. (Round your answers to the nearost cont.) ConM RCC (a) Stand alone (b) Incremental ConM primary usen RCC primary user (c) Shapley Requirement 3. Which method is most appropriale for allocating revenues among the DVDs? Why? Below are three situations Select the method(s) that would be most appropriate t each situation method(s) would be f ir if the demand for the DVDS were approximately equal. The method might be slightly preterable here, since it is simpler and casier to explain The method would be appropriate if one DVD had a higher level of demand than the other DVD, In this situation, the dominant DVD would be sold anyway, so it should receive its revenue, and the other DVD should reccive the The remainder
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