Operate the fitness studio within the store

Assignment Help Business Management
Reference no: EM131415667

A Nike women's-only store in California offers women's running, training, and sportswear products and also contains an in-store fitness studio for group and personal fitness training sessions. The store consistently earns profits in excess of $468,000 per year and is located on prime real estate in the center of town. The store owner pays $12,000 per month in rent for the building. A real estate agent approached the owner and informed her that she could add $6,000 per month to her firm's profits by renting out the portion of her store that she uses as a fitness studio. While the prospect of acquiring this rental income was enticing, the owner believed the use of that space as a fitness studio was an important contributor to her store's profits.

What is the opportunity cost of continuing to operate the fitness studio within the store?

Reference no: EM131415667

Questions Cloud

Participation in the program is voluntary : A bank offers a week long management training program to all its loan officers at the end of the second year in their job. Participation in the program is voluntary. Suppose the bank encourages participation in the training program by sending a perso..
Compute the earnings per share for each company : Assume that the only change to shareholders' equity during 2012 is due to net income earned in 2012.
Cubic production function of the form : A firm estimates its cubic production function of the form  Q = AL3 + BL2 and obtains the following estimation results:
Identify independent variables listed as qualitative : The data in these files could be used to predict the probability that therapy will be successful. Identify the independent variables listed here as qualitative or quantitative.
Operate the fitness studio within the store : What is the opportunity cost of continuing to operate the fitness studio within the store?
Developed an occupational medicine program : Bethesda Hospital recently has developed an occupational medicine program. It wants to target employers in the Baltimore metropolitan area. The director of the program has a range of services within this program including toxicology assessment, educa..
Write a paper on ford motors market structure and ownership : Write a 2-3 Page Paper on Ford Motor's Market Structure and Ownership. Discuss whether or not Ford Motor Company is profitable along with a 5-year forecast in terms of sales, revenues, and profits.
Calculate the portfolio weights that remove all risk : A. Suppose Intel's stock has an expected return of 10% and a volatility (standard deviation) of 5%, while Coca-Cola's has an expected return of 5% and volatility of 2%. Assume these two stocks have correlation coef?cient -1. 1. Calculate the portf..
Servant leadership is compatible with other religions : Christian servant leaders profess to serve those whom they lead through love and the moral obligation to promote the greater good of others. Also, although servant leadership is often associated with the Bible and the teachings of Jesus Christ, do yo..

Reviews

Write a Review

Business Management Questions & Answers

  Describe friedman''s viewpoint towards csr and his policies

Describe Friedman's viewpoint towards CSR and his policies

  Calculate bep and total profit in the given caseraz inc is

calculate bep and total profit in the given caseraz inc. is considering launching a project for a 1 week sale of their

  Describes what ethics and professional conduct means

Ethics and professional conduct are extremely important in the workplace and different professions have different requirements and expectations of the people within the professions.

  Motivation process approaches affect employees

1. Explain how the three motivation process approaches affect employees? (Processess are Equity Theory,Expectancy Theory and Goal setting theory)

  Discuss own personal characteristics and how they relate

1. Discuss your own personal characteristics and how they relate to the key traits and characteristics of an entrepreneur that you read about in the Background readings. Overall, do you think your own characteristics match the "textbook" definition o..

  Three examples of with brief description

Discuss the applications of each of following in biology today and include three examples of each with a brief description.

  List the resources in the correct apa writing style

Comprise a minimum of 2-4 resources; 1 resource must be peer reviewed. List the resources in the correct APA writing style.

  Addresses biases and honesty at workit appears that we

addresses biases and honesty at work.it appears that we agree that we all have biases. how important is it to be honest

  What factors determine a companys choice between cash method

What factors determine a company's choice between the cash method and the accrual method in accounting for income taxes? Give an example of a particular transaction and describe how the two methods would account for that transaction differently.

  Central banks for depreciation

Exporters in many countries complain if the (local) currency appreciates and pressure their central banks for depreciation. Some countries that are net importers accuse those exporter countries of deliberately keeping its currency undervalued and t..

  Decrease the supply of cell phones

Using the supply curve shifters (SPEND) explain whether each of the following will increase or decrease the supply of cell phones. Tell whether the supply curve shifters to the right or to the left.

  Problem regarding the hostile environment

With respect to sexual harassment (SH) - in the case of "hostile environment" (one of the three types) - who decides what constitutes SH?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd