Are revenues independent of the expansion decision?

MATLAB: An Introduction with Applications
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ISBN:9781119256830
Author:Amos Gilat
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Chapter1: Starting With Matlab
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  1. Are revenues independent of the expansion decision?
Expansion
Sales
Costs
Revenue
Sales - Costs
High
200000 - 100000 = 100000
High
.5
Low
Expand
200000 - 50000 = 150000
High
100000 - 100000 =
Low
.5
Low
100000 - 50000 = 50000
High
150000 - 75000 = 75000
High
3
Low
150000 - 25000 = 125000
1.3
pon't Expand
High
50000 - 75000 = -25000
7 Low
.7\ Low
50000 - 25000 = 25000
Transcribed Image Text:Expansion Sales Costs Revenue Sales - Costs High 200000 - 100000 = 100000 High .5 Low Expand 200000 - 50000 = 150000 High 100000 - 100000 = Low .5 Low 100000 - 50000 = 50000 High 150000 - 75000 = 75000 High 3 Low 150000 - 25000 = 125000 1.3 pon't Expand High 50000 - 75000 = -25000 7 Low .7\ Low 50000 - 25000 = 25000
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