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- Your last name: Your first name: In Class Ex. 9
- Question 1. Use the following information to calculate your answers.
- Total cracker sales in 2014 = $925,900,000
- Ritz cracker sales in 2014 = $10,750,000
- Triscuit cracker sales in 2014 = $88,500,000
- a). What is Ritz’s share of the cracker market?
- b). What is Triscuit’s share of the cracker market?
- Question 2. Victoria Beckham is considering launching her own line of fashionable, high-end shoes. She plans on selling each pair for $500. Variable costs come to $26 per shoes and fixed costs total $100k. Calculate the break-even in units and the required break-even dollars sales. Suppose Victoria can produce the shoes in Taiwan for a much lower fixed cost of $45k. What is the new break-even point (in dollars and in units)?
- Question 3. The cost to make a scientific calculator is $15. Recent sales forecasts indicate that if the calculator is sold for $30, they will sell 1200 per week. If priced at $32, sales will be 1000 units. And at $36, sales will be 700 units per week. Based on these forecasts, what price should the firm charge?
- Question 4. A new marketing campaign was launched at the beginning of winter by an all-inclusive Cuban resort to attract more vacationers, and thus increase sales revenues. $1million was spent on television advertisements, $1million was spent on magazine advertisements, and $200k was spent on brochures that were put in numerous travel agencies. Over the course of the winter, sales revenue increased by $3.5m. What is the marketing ROI for this marketing campaign?
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