A Munich hardware store is considering opening on Sunday. The differential cost of paying for salespeople and utilities is €1,000 per Sunday. Sales on Sunday are expected to be €10,000. The sales price of an item is determined by taking the purchase price of the item and adding 20 percent.

a. If sales on Sunday do not affect sales the rest of the week, should the hardware store open on Sundays if the goal is to increase profit?

b. Should the hardware store open on Sundays, if 60 percent of the sales on Sundays would have occurred on other days of the week at the hardware store?