What is the annual profit of option A?

 

Neighborhood Dupont Logan Order Amount $20 AM $50 Time per Order 20 min 30 min EXHIBIT 2: Expansion and Pricing Strategy DuPont $5 $3 Customers with $20 average order cost Option A: Order-Size-Based Pricing Delivery Fee 500 500 Logan Circle $5 $3 Customers with $50 average order cost 500 500 Order Amount $20 $50 Orders per year per customer 20 DIEW 20 Option B: Location-Based Pricing DuPont $3 $3 Delivery Fee Logan Circle $5 $5