An apparel company manufacturing women only clothing also


Please provide me with detail breakdown and explanation as to the result of the below scenario.

An apparel company manufacturing women only clothing also offers an in-store fitness studio, a café and a climbing wall. The store earns profit in excess of $500k / yr. It is located on prime real estate. The store-owner pays $15k /month in rent for the building. A real estate agent offering $8k per month for renting the fitness studio approaches the company. What is the opportunity cost of keeping the fitness studio within the store?

Solution Preview :

Prepared by a verified Expert
Business Economics: An apparel company manufacturing women only clothing also
Reference No:- TGS02461270

Now Priced at $10 (50% Discount)

Recommended (98%)

Rated (4.3/5)