Input area: Purchase price Appraised value Cost to build Grading costs Output area: $ $ $ $ SSSS 2,800,000 3,200,000 14,300,000 825,000 The acquisition cost is a sunk cost. The appraisal value is an opportunity Total initial cost D 1 2 3 4 -5 16 17 18 19 20 21 22 23 24 25 26 27 Input area: Motor home price Motor coach price Camper quantity Camper price Increased motor home quantity Lost motor coach quantity Output area: Camper sales Increased motor home sales Lost motor coach sales Total sales Do you know what it means to say one product is going to "Canabalize" other sales? What do you think? 103,000 155,000 25,000 19,000! 1 2,700! 1,300 i I