Question: Suppose that a company is developing a quoting system where customers can receive an answer in a few minutes after their request. Given past contracts

Suppose that a company is developing a quoting system where customers can receive an answer in a few minutes after their request. Given past contracts the manual quoting system generates a fixed income of $100,000 dollars. With the new system, additional to the income generated, the company will convert the quotes into new revenue with an average income per order of $USD10,000. The new system will have an overhead structure of USD$250,000 per year and each quote costs the company around USD$2,500 to prepare and send. Assume the maximum amount of quotes in a year is 100.

What's the profit ratio?

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