Question: Honda Motor Compary is considering offering a $ 2 , 0 0 0 rebate on its minivan, lowering the vehicle's price from $ 3 0

Honda Motor Compary is considering offering a $2,000 rebate on its minivan, lowering the vehicle's price from $30,000 to $28,000. The markating group astimates that this rebate will increase sales over the next year from 39,300 to 55,600 vehicles. Suppose Honda's proft margin with the rebate is $5,000 per vehicle. If the change in sales is the only consequence of this decision, what are its costs and benefis? is it a good idea? Hint. Vew this question in ierms of incremental proftes.
The cost of the rebate will be $78.6 million. (Round to one decimal place.)
The benefit of the rebale witi bes miltion. (Round to one decimal place.)
Honda Motor Compary is considering offering a $ 2

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