Should the advertising budget be changed for upcoming year

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1. Should the advertising budget be changed for the upcoming year? How should it be done?

2. Should you develop a new product for an existing product line? What must you decide?

3. A sports store puts designs 12 different designs on sweatshirts. Set Up between each design takes an hour and costs $18,000. Once setup, at a cost of $8,000 they can produce 1,000 units. Does this production exhibit scale economies or scope economies? Please show the appropriate rationale modeling you use.

Reference no: EM131085072

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