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Your friends say you make the best pizzas they\'ve ever eaten, and they\'re cons

ID: 2707490 • Letter: Y

Question

  Your       friends say you make the best pizzas they've ever eaten, and they're       constantly encouraging you to set up a pizza business in your city. You       have located a small storefront in a busy section of town. It doesn't       have space for an eat-in restaurant, but it will allow customers to pick       up their pizzas. You will also deliver pizzas. Before you sign a lease       and start the business, you need to estimate the number of pizzas you       will sell in your first year. At this point you plan to offer pizza in       only one size. Before arriving at an estimate, answer these questions:       What        factors would you consider in estimating pizza sales?    What        assumptions will you use in estimating sales (for example, the hours        your pizza shop will be open)?    Where        would you obtain the needed information to calculate the estimate?    Then        estimate the number of pizzas you will sell in your first year of        operations. What things would change if you decided to add another size        pizza to the menu?   

Explanation / Answer

A) Factors to be considered in estimating pizza sales :

B) Assumptions:

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