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 2017:
a. June 2017: Raised subscription fee to $25.50 per month from July 2017 onward. The budgeted number of subscribers for this monthly fee is shown in the following table.
b. June 2017: Informed existing subscribers that from July onward, monthly fee would be $25.50.
c. July 2017: Offered e-mail service to subscribers and upgraded other online services.
d. October 2017: Dismissed the vice president of marketing after significant slowdown in subscribers and subscription revenues, based on July through September 2017 data in the following table.
e. October 2017: Reduced subscription fee to $22.50 per month from November 2017 onward.
Results for July-September 2017 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.

Transcribed Image Text:

MonthYear June 2015 December 2015 June 2016 December 2016 June 2017 Advertising Revenues $415,972 867,246 892,134 1,517,950 2,976,538 Actual Number of Subscribers 29,745 55,223 59,641 87,674 147,921 Monthly Fee per Subscriber $15.50 20.50 20.50 20.50 20.50 Month Year July 2017 August 2017 September 2017 Budgeted Number of Subscribers 145,000 155,000 165,000 Actual Number of Subscribers 129,250 142,726 145,643 Monthly Fee per Subscriber S25.50 25.50 25.50