Paula is trying to determine whether the segments she is considering for her day care center will be profitable. Which of the following factors is least relevant to her analysis?
A) the number of children needing day care in the immediate area
B) the fixed costs of operating the center
C) the percentage of parents able and willing to use day care center services
D) the average number of school-age siblings of children attending day care
E) the charge price minus the variable cost of providing service to each child

Question

Quizplus · Accepted Answer

The average number of school-age siblings of children attending day care is least relevant because it does not directly impact the profitability of the day care center. The other factors are directly related to demand, costs, and pricing, which are crucial for determining profitability.

Paula Is Trying to Determine Whether the Segments She Is