Suppose the Owners of a New Bed and Breakfast Establishment

question 78

Multiple Choice

Suppose the owners of a new bed and breakfast establishment are interested in conducting an experiment to determine the most effective advertisement strategy for increasing the number of reservations.The bed and breakfast owners intend to rotate advertisements for 12 weeks between a travel website, a travel magazine and a local billboard.Customers making reservations will be asked where they saw the advertisement.In this experiment, the dependent variable is ________________.

• A)advertisement venue
• B)bed and breakfast establishment
• C)travel website
• D)number of reservations
• E)number of customer calls

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Definitions:

Economic Losses

Refers to the decrease in monetary value or wealth, usually as a result of business operations or economic activities.

Long Run

A time period in which all factors of production and costs are variable, allowing for all inputs to be adjusted.

Profit

The financial gain obtained when the revenue from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Total Revenue

The gross revenue of a company, being the entire sum of income from goods or services sold, prior to the deduction of any costs.