A Retailer Opened 10 New Home Appliance Stores

question 83

Multiple Choice

A retailer opened 10 new home appliance stores.The same resources could have been used to expand its 15 existing stores into category killer stores.While the retailer earned $600,000 last year,it figures it could have earned $1,000,000 if it went with the larger store alternative.Its opportunity costs last year were ________.

• A) $400,000
• B) $600,000
• C) $1,600,000
• D) The answer cannot be determined based on the information provided.

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Definitions:

Performance Timetable

A schedule detailing the expected timelines for completing tasks or achieving milestones in a project or activity.

Formal Structure

The officially recognized structure of roles, duties, and relationships within an organization.

Informal Structure

The unofficial and unstated ways people and groups within an organization interact and organize work, which can contrast with the formal organizational structure.

Manager

A person responsible for controlling or administering an organization or group of staff.