Quality Sweater Company

a) Data Table
Inputs: Response Rate
Costs:
Printing: $ 20,000 3.0%
Variable 3.5%
Printing: $ 0.10 per catalog 4.0%
Mailing $ 0.15 per catalog 4.5%
Reply envelopes: $ 0.20 per order 5.0%
Labor & Materials: $ 32.00 per order 5.5%
Total Costs: $ 230,769 6.0%
6.5%
Catalog Ordered: 100000 7.0%
Response Rate: 5.77% dummy value 7.5%
Total Orders: 5769.23 =B13*B14 8.0%
we pick values here

Revenue:
Average Customer Order: $ 40.00
Total Revenue: $ 230,769 =B15*B19
Total Profit: $ -
Profit
$ -
Quality Sweater Co.: Respo
$12.00

$10.00

$8.00

$6.00

$4.00

$2.00

$-
3.0% 3.5% 4.0% 4.5% 5.0% 5.5%
 Quality Sweater Co.: Response Rate vs Profit
$12.00

$10.00

$8.00

$6.00

$4.00

$2.00

$-
3.0% 3.5% 4.0% 4.5% 5.0% 5.5% 6.0% 6.5% 7.0% 7.5% 8.0%

For the Column Input Cell, you should select

the cell that contains the Response Rate in
your spreadsheet. In this spreadsheet, it is
B14.

The Row Input Cell is left blank.