You work on the new product development team for your company's new tablet computer offering, a smaller version of your wildly popular eTablet line. You have been given

the task of determining three important decisions for this new product. First, you have been asked to determine the price for this product. Pricing is a tricky decision. You don't

want to price the new tablet too high because few customers will choose the new product over your full$-$sized tablet offerings and you risk losing sales to your aggressively

priced competitors' products. You don't want to price the product too low, because you want to earn as much revenue as possible from the product. Second, you must

determine where to set the marketing budget for the new product. You know that there will be a base demand for your product that comes from your loyal customers who will

buy just about anything you produce. Beyond that you also know that every dollar you spend on advertising will increase the demand for your product. Of course, there is a

limit to how much money you will want to spend on advertising because eventually more money spent on advertising will have little effect on demand and will reduce the

profitability of the new product. Finally, you have been asked to help decide how much money to prepay to the suppliers of the raw materials of the new product to reduce the

overall costs of these materials. Every dollar you spend on prepaying your suppliers will reduce the costs of these materials and will ensure that your competitors don't have

access to these materials. You have completed a spreadsheet model to aid in your analysis. Use the 'What If Analysis' options in Excel to help you determine the right price,

advertising spending, and prepaid supplier contract for your new product.

Which Scenario is most profitable?

You work on the new product development team for your company's new tablet computer offering, a smaller version of your wildly popular eTablet line. You have been given

the task of determining three important decisions for this new product. First, you have been asked to determine the price for this product. Pricing is a tricky decision. You don't

want to price the new tablet too high because few customers will choose the new product over your full$-$sized tablet offerings and you risk losing sales to your aggressively

priced competitors' products. You don't want to price the product too low, because you want to earn as much revenue as possible from the product. Second, you must

determine where to set the marketing budget for the new product. You know that there will be a base demand for your product that comes from your loyal customers who will

buy just about anything you produce. Beyond that you also know that every dollar you spend on advertising will increase the demand for your product. Of course, there is a

limit to how much money you will want to spend on advertising because eventually more money spent on advertising will have little effect on demand and will reduce the

profitability of the new product. Finally, you have been asked to help decide how much money to prepay to the suppliers of the raw materials of the new product to reduce the

overall costs of these materials. Every dollar you spend on prepaying your suppliers will reduce the costs of these materials and will ensure that your competitors don't have

access to these materials. You have completed a spreadsheet model to aid in your analysis. Use the 'What If Analysis' options in Excel to help you determine the right price,

advertising spending, and prepaid supplier contract for your new product. PLEASE COMPLETE TASK $2,3,4$