A Company Plans to Forecast Its Sales for High-End Kitchen

question 1

Multiple Choice

A company plans to forecast its sales for high-end kitchen appliances sold wholesale to home remodeler contractors in the Lehigh Valley.What would their expected annual sales be based on the following information: 150,000 existing households and 20,000 new construction;average remolded home spends $3000 in appliances;company expects 10% of the households to perform a kitchen remodel project in the next 12 months with 50% using a contractor and 50% doing it themselves.The company hopes to capture a 10% market share their first year.

• A)$2,550,000
• B)$4,500,000
• C)$9,000,000
• D)$2,250,000

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