A local real estate investor in Orlando is considering five alternative investments: a day spa, a theater, a restaurant, a motel, or a gift shop. Profits from the day spa, theater, gift shop or restaurant will be affected by the cost of gasoline; profits from the restaurant will be relatively stable under any condition.
Investment Decisions |
Increase .30 |
Stable .60 |
Decrease .10 |
Day Spa |
$-3,000 |
$14,000 |
$19,000 |
Gift Shop |
$-8,000 |
$15,000 |
$20,000 |
Motel |
$7,000 |
$8,000 |
$10,000 |
Restaurant |
$6,000 |
$6,000 |
$6,000 |
Theater |
$-6,000 |
$22,000 |
$18,000 |