Business, 22.07.2021 19:00 briannabo08

(Can you explain to me how do you find the Unit sales after launch of $85,000) Example 1: Erosion Costs
Frosty Desserts currently sell 100,000 of its Strawberry Shortcake Delight (SSD) each year for $3.50 per serving
Its cost per serving is $1.75
Its chef has come up with a newer, richer concoction, "Extra Creamy Strawberry Wonder (ESW), which costs $2.00 per serving, will retail for $4.50 and should bring in 130,000 customers
It is estimated that after the launch, the sales for the original variety will drop by 15%
Estimate the erosion cost associated with this venture

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(Can you explain to me how do you find the Unit sales after launch of $85,000) Example 1: Erosion C...

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