The research director was asked what the total cost of the research would be He stated that after including all the expenses of the test market, salaries, wages, outside consulting ees etc.the total cost would be $2.2 million.Should the company do the research study proposed by the director ?

Question

Quizplus · Accepted Answer

The question does not provide information on the potential benefits or expected profits from the research study. Without this information, it is not possible to make a decision using a decision tree. However, we do know that the total cost of the research study is $2.2 million, which may be too expensive for the company to undertake. Therefore, the best choice is to select option B, as the company should not undertake the research study based on the cost information provided.

The Research Director Was Asked What the Total Cost of the Research