Bubbly Waters currently sells 3 5 0 Class A spas, 5 0 0 Class C spas, and
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Question:
Bubbly Waters currently sells Class A spas, Class C spas, and deluxe model spas each year. The firm is considering adding a midclass spa and expects that if it does, it can sell units per year. However, if the new spa is added, Class A sales are expected to decline to units while the Class C sales are expected to increase to The sales of the deluxe model will not be affected. Class A spas sell for an average of $ each. Class C spas are priced at $ and the deluxe models sell for $ each. The new midrange spa will sell for $ What annual sales figure should you use in your analysis?
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