Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. a local pbs station has decided to produce a tv se

A local PBS station has decided to produce a TV series on robotic manufacturing. The...

50.1K

Verified Solution

Question

Accounting

A local PBS station has decided to produce a TV series on robotic manufacturing. The director of the TV series, Justin Tyme, is currently attempting to analyze some of the projected costs for the series. Tyme intends to take a TV production crew on location to shoot various manufacturing scenes as they occur. If the four-week series is shown in the 8:00-9:00 p.m. prime-time slot, the station will have to cancel a wildlife show that is currently scheduled. Management projects a 10 percent viewing audience for the wildlife show, and each 1 percent is expected to bring in donations of $10,000.In contrast, the manufacturing show is expected to be watched by 15 percent of the viewing audience. However, each 1 percent of the viewership will likely generate only $5,000 in donations. If the wildlife show is canceled, it can be sold to network television for $25,000.

Using the cost terminology introduced in this chapter, comment on each of the financial amounts mentioned in the scenario above. What are the relative merits of the two shows regarding the projected revenue to the station?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students