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Jack Blaze wants to rent store space in a new shopping mall for the three month holiday shopping season. Blaze believes he has a new

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Jack Blaze wants to rent store space in a new shopping mall for the three month holiday shopping season. Blaze believes he has a new product available which has the potential for good sales. The product can be obtained on consignment at the cost of $20 per unit and he expects to sell the item for $100 per unit. Due to other business ventures, Blaze's risk tolerance is low. He recognizes that, as the product is entirely new, there is an element of risk. The mall management has offered Blaze three rental options: (1) a fixed fee of $8,000 per month, (2) a fixed fee of $3,990 per month plus 10% of Blaze's revenue, or (3) 30% of Blaze's revenues. Which one of the following actions would you recommend to Jack Blaze? Choose the first option no matter what Blaze expects the revenues to be. Choose the second option no matter what Blaze expects the revenues to be. Choose the second option only if Blaze expects revenues to exceed $5,700. Choose the third option no matter what Blaze expects the revenues to be

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