The National Sales Manager for "I Colored This" (ICT) T-Shirts

question 101

Multiple Choice

The national sales manager for "I colored this" (ICT) T-shirts, provides all salespersons with the payoff table shown below, giving the estimated profit when a retailer purchases from 1 to 4 dozen T-shirts. The probability of demand for each state of nature is also shown. What is the expected payoff for purchasing 3 dozen T-shirts?

• A) 72
• B) 120
• C) 168
• D) 192

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Definitions:

Primary Reason

The main or most important cause or motive behind an action, decision, or situation.

Lose Customers

The process by which a business experiences a reduction in its customer base due to various factors such as poor service, high prices, or better competition.

Management Team

A group of individuals at the top level of an organization who are responsible for making strategic decisions and ensuring the company achieves its goals.

Competitive Advantage

A condition or unique attribute that allows a company to outperform its competitors, securing a superior position in the market.