Scenario 6

question 120

Multiple Choice

Scenario 6.1 Use the following to answer the questions.
Angels Kids Spa offers various treatments designed to appeal to the younger customer. Treatment options include manicures, pedicures, facials, tea parties, and dress up photos. Parents can even purchase a birthday party package. Currently, Angels offers its services only to girls under the age of 14. Originally begun in Delaware, Angels is considering opening its spa/salons in other parts of the country and is planning to expand its offerings to girls aged 14 to 17. The company realizes that some changes may be needed. For example, management wants to find out if the older girls will be interested in their birthday party and tea party services.
Refer to Scenario 6.1. What method should Angels use to forecast sales in new regions?

• A) Sales force survey
• B) Time series analysis
• C) Correlation method
• D) Market test
• E) Regression analysis

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Definitions:

Plasma Membrane

The semipermeable membrane surrounding the cytoplasm of a cell, which regulates the entry and exit of substances.

Osmosis

Diffusion of solvent (water) through a membrane from a less concentrated solution to a more concentrated solution.

Renin

Enzyme secreted by the juxtaglomerular apparatus that converts angiotensinogen to angiotensin I.

Kidney

A pair of bean-shaped organs that filter waste products from the blood and excrete them, along with water, as urine.