Question

PostNews. com offers its subscribers several services, such as an annotated TV guide and local-area information on weather, restaurants, and movie theaters. Its main revenue sources are fees for banner advertisements and fees from subscribers. Recent data are as follows:


The following decisions were made from June through October 2013:
a. June 2013: Raised subscription fee to $ 25.50 per month from July 2013 onward. The budgeted number of subscribers for this monthly fee is shown in the following table.
b. June 2013: Informed existing subscribers that from July onward, monthly fee would be $ 25.50.
c. July 2013: Offered e-mail service to subscribers and upgraded other online services.
d. October 2013: Dismissed the vice president of marketing after significant slowdown in subscribers and­subscription revenues, based on July through September 2013 data in the following table.
e. October 2013: Reduced subscription fee to $ 22.50 per month from November 2013 onward. Results for July–September 2013 are as follows:



Required
1. Classify each of the decisions (a– e) as a planning or a control decision.
2. Give two examples of other planning decisions and two examples of other control decisions that may be made at PostNews.com.


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  • CreatedMay 14, 2014
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