Tony BIs Attempting to Start a Landscaping Business

question 4

Multiple Choice

Tony B.is attempting to start a landscaping business.He estimates that to break even, he will need about 140 customers.He believes he will lose approximately $500 per customer for each customer fewer than the 140.At the moment, he believes that there is an 80% probability that he will be able to secure at least 130 customers and that there is a 50/50 chance that demand will be greater than 150 customers.He has several marketing research firms offering (for a price, of course) to conduct a survey that will provide additional information regarding the probability of demand.How much should he be willing to spend if he decides to have a survey made?

• A)≅ $4,000
• B)≅ $3,000
• C)≅ $5,000
• D)≅ $2,700

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Definitions:

Organization

A structured group of individuals working together towards common goals, often within a formal hierarchy.

Job Holders

Individuals currently employed in a particular position, contributing to the roles and functions of an organization.

Power

The ability or capacity of an individual or group to influence or control the actions, behaviors, or opinions of others.

Organization

A structured group of people collaborating to achieve common goals, characterized by established roles, rules, and systems.