Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please solve in excel only Evelyn's current project is to forecast the next five year's revenue for her firm's consulting practice. Over the past three

Please solve in excel only

Evelyn's current project is to forecast the next five year's revenue for her firm's consulting practice. Over the past three years, the firm has raised hourly prices a total of 25% and the number of hours it has sold, after adjusting for non-price factors, has gone down 15%. She expects this relationship of price and demand to hold true over the next 5 years. This year, the firm will sell 10,000 hours at an average of $150 per hour. She has decided to base her forecast on raising the hourly rate 8% in each of the next five years. In addition, she plans to raise the marketing budget enough so that the firm will sell 250 more hours each year than it would achieve without this incremental marketing budget increase. With these assumptions, the firm's revenue in year 5 will be

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Research Methods Design And Analysis

Authors: Larry Christensen

13th Edition

0205961258, 978-0205961252

More Books

Students also viewed these Economics questions

Question

What is the cerebrum?

Answered: 1 week ago

Question

5. How can I help others in the network achieve their goals?

Answered: 1 week ago