Question

Your Competitive Intelligence team is predicting that the Digby Company will invest in adding capacity to their Dug product this year. Assume Digby's product Dug invests in increasing its capacity by 10% this year. Because of this new information, your company anticipates all other products in the Core segment will increase their capacity by the same amount. How much can the industry produce in the Core segment the next year? Consider only products primarily in the Core segment last year. Ignore current inventories. Figures in thousands (000).Product Segment Capacity Next RoundDug Core 1200Dune Core 1450Beetle Core 1040Bat Core 1050New Core 100Adam Core 1200If you take these numbers and add the 10% you get 6,644 for next year's capacity. However, the choices on the homework are not one of those, they are 8,585; 7385; 9564; 4840; 4025; 13288; and 8364 == This makes no sense.

Answer 1

13288 is the answer

Step-by-step explanation:

As per your information, I have rechecked your answer by increasing 10% to capacity.

Total of 6,644 is correct.

However we are required to calculate "How much can the industry produce in the Core segment the next year? ".

=6644+6644 (given in question that all other products in the Core segment will increase their capacity by the same amount after 10% increase)

=13288