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Problem #1 Cost Estimation Anna Martinez, manager of the Casa Real restaurant, wants to see whether her new advertising campaign is working to increase sales.
Problem #1 Cost Estimation Anna Martinez, manager of the Casa Real restaurant, wants to see whether her new advertising campaign is working to increase sales. She obtained the following data for the last 10 months month advertising $2,100 $2,900 $1,600 $3,300 $1,100 $1,850 $1,350 $4,200 $2,400 $2,850 $2,365 revenues S35,200 $39,850 S35,700 $41,300 S33.100 S37,550 $33,900 S38,800 S35,050 $40.150 $37,060 feb mar apr may jun jul aug sep oct average (1) What is the incremental revenue per dollar of advertising? (2 points) (2) What is revenue without any advertising? (2 points) (2) The contributuon margin for the restaurant is 28.5% What is the minimum revenue per dollar of advertising required to make the advertising profitable? (2 points) (3) What is expected revenue with $2,850 of advertising? (2 points)
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