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Updated on: 25 Oct 2025, 01:18
Originally posted by Sajjad1994 on 09 Feb 2021, 23:30.
Last edited by Bunuel on 25 Oct 2025, 01:18, edited 3 times in total.
Last edited by Bunuel on 25 Oct 2025, 01:18, edited 3 times in total.
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A retail chain is considering opening a new location at the The Westlake Shopping Center, which has multiple store vacancies. The shopping center offers a variety of pricing options based on the specific space available and where in the mall the space is located.
The table on the next tab includes information about the location of each available space in the mall, the estimated number of shoppers that pass by the location, the monthly rent per square foot, the size of the space measured in square feet, the nonrefundable deposit needed to move into the space, and whether or not the cost of utilities is included in the monthly rent.
For every 1,000 consumers that pass the retailer's location per month, the retailer estimates that it can generate $50 in gross profit per square foot of retail space. For example, if the retailer leases a space that is 600 square feet in area and has 10,000 consumers pass by it per month, the retailer expects that space will generate [(10,000/1,000) * 50] * 600 = $300,000 in gross profit per month , before taking into account the cost of rent, labor, or utilities.
For locations where the shopping center does not pay for utilities, assume that utilities will cost $10 per square foot per month. Labor costs to keep the store open are a flat $50,000 per month, regardless of location. Assume that the retailer incurs no other costs to open or maintain the space.
The table on the next tab includes information about the location of each available space in the mall, the estimated number of shoppers that pass by the location, the monthly rent per square foot, the size of the space measured in square feet, the nonrefundable deposit needed to move into the space, and whether or not the cost of utilities is included in the monthly rent.
For every 1,000 consumers that pass the retailer's location per month, the retailer estimates that it can generate $50 in gross profit per square foot of retail space. For example, if the retailer leases a space that is 600 square feet in area and has 10,000 consumers pass by it per month, the retailer expects that space will generate [(10,000/1,000) * 50] * 600 = $300,000 in gross profit per month , before taking into account the cost of rent, labor, or utilities.
For locations where the shopping center does not pay for utilities, assume that utilities will cost $10 per square foot per month. Labor costs to keep the store open are a flat $50,000 per month, regardless of location. Assume that the retailer incurs no other costs to open or maintain the space.
The unit in the Upper Plaza that will generate the highest estimated gross sales (sales before expenses) is unit 230.: Yes
The unit in the Annex that will generate the lowest estimated gross sales (sales before expenses) is A30.: No
Of the units the do not include utilities, the unit with the lowest utility cost is 270.: Yes
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
74% (04:04) correct
26%
(04:06)
wrong
based on 462
sessions
History
Date
Time
Result
Not Attempted Yet
1. Consider each of the following statements. In the following table, select Yes if the statement is true given the information provided and select No if the statement is false.
| Yes | No | |
| The unit in the Upper Plaza that will generate the highest estimated gross sales (sales before expenses) is unit 230. | ||
| The unit in the Annex that will generate the lowest estimated gross sales (sales before expenses) is A30. | ||
| Of the units the do not include utilities, the unit with the lowest utility cost is 270. |
ShowHide Answer
Official Answer
The unit in the Upper Plaza that will generate the highest estimated gross sales (sales before expenses) is unit 230.: Yes
The unit in the Annex that will generate the lowest estimated gross sales (sales before expenses) is A30.: No
Of the units the do not include utilities, the unit with the lowest utility cost is 270.: Yes
220 Upper Plaza: Profit
110 Lower Plaza: Loss
A30 Annex: Loss
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
53% (03:14) correct
47%
(02:57)
wrong
based on 531
sessions
History
Date
Time
Result
Not Attempted Yet
2. In the following table of unit numbers, select Profit if the unit will make a profit after all expenses are taken into account given the information provided and select Loss if the unit will have a loss.
| Profit | Loss | |
| 220 Upper Plaza | ||
| 110 Lower Plaza | ||
| A30 Annex |
ShowHide Answer
Official Answer
220 Upper Plaza: Profit
110 Lower Plaza: Loss
A30 Annex: Loss
Not including the nonrefundable deposit and utilities, the unit with the highest monthly rent in the Upper Plaza location is unit 230.: Yes
The unit with the fewest monthly shoppers per square foot of retail space is A10.: No
The unit with the most monthly shoppers per square foot of retail space in the Upper Garden is 270.: Yes
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
46% (03:01) correct
54%
(02:46)
wrong
based on 499
sessions
History
Date
Time
Result
Not Attempted Yet
3. Consider each of the following statements. In the following table, select Yes if the statement is true given the information provided and select No if the statement is false.
| Yes | No | |
| Not including the nonrefundable deposit and utilities, the unit with the highest monthly rent in the Upper Plaza location is unit 230. | ||
| The unit with the fewest monthly shoppers per square foot of retail space is A10. | ||
| The unit with the most monthly shoppers per square foot of retail space in the Upper Garden is 270. |
ShowHide Answer
Official Answer
Not including the nonrefundable deposit and utilities, the unit with the highest monthly rent in the Upper Plaza location is unit 230.: Yes
The unit with the fewest monthly shoppers per square foot of retail space is A10.: No
The unit with the most monthly shoppers per square foot of retail space in the Upper Garden is 270.: Yes
rocky620
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10 Feb 2021, 07:55
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Consider each of the following statements. In the following table, select Yes if the statement is true given the information provided and select No if the statement is false.
The unit in the Upper Plaza that will generate the highest estimated gross sales (sales before expenses) is unit 230..... YES
There are three units in Upper plaza. The estimated sales in each: (Since sales/profit per customer is same we will only calculate the Unit which has the greatest product of Area and per 1000 customers)
210 = \(\frac{12000}{1000}\)*750 = 12*750 = 9000
220 = \(\frac{14000}{1000}\)*900 = 14*900 = 12600
230 = \(\frac{16000}{1000}\)*1100 = 16*1100 = 17600
The unit in the Annex that will generate the lowest estimated gross sales (sales before expenses) is A30.....NO
There are three units in Annex. The estimated sales in each: (Since sales/profit per customer is same we will only calculate the Unit which has the greatest product of Area and per 1000 customers)
A10 = \(\frac{5000}{1000}\)*600 = 5*600 = 3000
A20 = \(\frac{5000}{1000}\)*800 = 5*800 = 4000
A30 = \(\frac{6000}{1000}\)*650 = 6*650 = 3900
So its unit A10
Of the units the do not include utilities, the unit with the lowest utility cost is 270.....YES
There are 4 units that does not include utilities. The estimated Utility cost for each: (10*area)
220 = 10*900 = 9000
260 = 10*750 = 7500
270 = 10*600 = 6000
230 = 10*1100 = 11000
The correct Sequence should be YES, NO, YES
The unit in the Upper Plaza that will generate the highest estimated gross sales (sales before expenses) is unit 230..... YES
There are three units in Upper plaza. The estimated sales in each: (Since sales/profit per customer is same we will only calculate the Unit which has the greatest product of Area and per 1000 customers)
210 = \(\frac{12000}{1000}\)*750 = 12*750 = 9000
220 = \(\frac{14000}{1000}\)*900 = 14*900 = 12600
230 = \(\frac{16000}{1000}\)*1100 = 16*1100 = 17600
The unit in the Annex that will generate the lowest estimated gross sales (sales before expenses) is A30.....NO
There are three units in Annex. The estimated sales in each: (Since sales/profit per customer is same we will only calculate the Unit which has the greatest product of Area and per 1000 customers)
A10 = \(\frac{5000}{1000}\)*600 = 5*600 = 3000
A20 = \(\frac{5000}{1000}\)*800 = 5*800 = 4000
A30 = \(\frac{6000}{1000}\)*650 = 6*650 = 3900
So its unit A10
Of the units the do not include utilities, the unit with the lowest utility cost is 270.....YES
There are 4 units that does not include utilities. The estimated Utility cost for each: (10*area)
220 = 10*900 = 9000
260 = 10*750 = 7500
270 = 10*600 = 6000
230 = 10*1100 = 11000
The correct Sequence should be YES, NO, YES
06 May 2024, 19:03
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Answers for the 2nd and 3rd parts?
