As a nonprofit institution the museum finds it challenging


The Schoch Museum is embarking on a 5-year fundraising campaign. As a nonprofit institution, the museum finds it challenging to acquire new donors as many donors do not contribute every year. Suppose that the museum has identified a pool of 8,000 potential donors. The actual number of donors in the first year of the campaign is estimated to be 65% of this pool. For each subsequent year, the museum expects that 35% of current donors will discontinue their contributions. In addition, the museum expects to attract some percentage of new donors. This is assumed to be 10% of the pool. The average contribution in the first year is assumed to be $50, and will increase at a rate of 2.5%. Develop a model to predict the total funds that will be raised over the 5-year period, and investigate the impacts of the percentage assumptions used in the model. Find distribution of revenue, costs, and profit. Use data tables with 250 trials.

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Operation Management: As a nonprofit institution the museum finds it challenging
Reference No:- TGS02920287

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