Problem # 3 (9 points) John Smith is a regional sales representative for Snappy Tools, Inc., and sells hand tools to auto mechanics in New England states. Smith's goal is to maximize total monthly commission income, which is figured at 10% of gross sales. In reviewing experience over the past year, Smith found the following relations between days spent in each state and weekly sales generated. Days 0 1 2. 3 4 5 New Vermont Hampshire Sales Sales $ 3,000 S 3,000 10,000 7,000 15,000 10,600 19,000 13,800 22,000 16,600 24,000 19,000 25,000 21,000 Maine Sales $1,900 5,200 7,400 8,600 9,200 9,600 9,800 1. Construct a table showing Smith's marginal sales per day in each state. 2. If Smith is limited to 7 selling days per week, how should they be spent? 3. Calculate Smith's maximum weekly commission income. SHIELD FINANCIAL: FEATURED CASE LEAD GENERATION" O see them gather dust on his salespeople's desks. More over, he didn't want to lose easy sales from prospects that were ready to buy. Doug voiced his concern to the salespeople and said he would be creating a stan dard plan that the salespeople would have to use when following up on leads. Questions ne method by which Shield identified leads on new prospects was through mailing of information to businesses in the area accom- panied by a mail-back card und an email address for those interested in learning more about the programs Shield. could offer. Since this type of lead genera- tion program had not been used for some time in the Des Moines area, Doug, the sales manager at the Des Moines office, decided to run the program after some disappointing first quarter sales results. To his surprise and thrill. 79 requests for more information were received in the next ten days following the mail- ing. Doug gave each of the salespeople in the office around ten leads to follow up on. A month later, at the monthly sales meeting, Doug asked for a progress report on the status of those prospect leads. Only two of the reps had followed up on any of the leads. Of those five leads, three sales were made and two prospects were still being developed. Doug was now concerned. After all the hard work that went into generating these leads, he wasn't about to 1. Should Doug have taken an approach other than saying that he would create a standard plan? 2. If you were the sales manager, what would you do about the reps' obvious lack of motivation to follow up on the leads generated by the mailing? 3. What are the possible reactions from the leads not contacted by Shield? 4. What is an ideal" course of action given all the issues involved? 5. Write a brief step-by-step plan to handle this situation