(Solved): Annie's expects fewer people to enroll in the fan club if the monthly fee is $12 instead of $10. It ...

Annie's expects fewer people to enroll in the fan club if the monthly fee is $\$12$ instead of $\$10$. It refers to this decline in enrollment as the attrition percentage. For example, if 100 people would enroll in the fan club at a monthly fee of $\$10$ and the attrition percentage is $5\%$, it means that 95 people would enroll in the fan club at the higher price of $\$12$ per month. Similarly, if 500 people would enroll in the fan club at a monthly fee of $\$10$ and the attrition percentage is $5\%$, it means that 475 people $(=500\times [100\%?5\%])$ would enroll in the fan club at the higher price of $\$12$ per month. Review the data visualization below and answer the following questions: Definitions: - Attrition percentage is the percent decline in enrollment if the fee increases from $\$10$ per month to $\$12$ per month. - Incremental profit is the additional profit earned at a $\$12$ monthly enrollment fee instead of a $\$10$ fee. Requirement 6 6-a. Assume (1) 100 people would enroll in the fan club at a price of $\$10$ per month, and (2) the attrition percentage at the higher price of $\$12$ per month is $0\%$. What incremental profit per year will the $\$12$ pricing scenario provide relative to the $\$10$ scenario? 6 -b. Assume (1) 500 people would enroll in the fan club at a price of $\$10$ per month, and (2) the attrition percentage at the higher price of $\$12$ per month is $0\%$. What incremental profit per year will the $\$12$ pricing scenario provide relative to the $\$10$ scenario? 6 -c. Assume (1) 100 people would enroll in the fan club at a price of $\$10$ per month, and (2) the attrition percentage at the higher price of $\$12$ per month is $5\%$. What incremental profit per year will the $\$12$ pricing scenario provide relative to the $\$10$ scenario? 6-d. Assume (1) 500 people would enroll in the fan club at a price of $\$10$ per month, and (2) the attrition percentage at the higher price of $\$12$ per month is $5\%$. What incremental profit per year will the $\$12$ pricing scenario provide relative to the $\$10$ scenario? 6 -e. Which of the following statements is true at an attrition percentage of $5\%$ ? 6 -f. In both scenarios (100 members or 500 members), what is the highest attrition percentage that still provides an incremental profit greater than zero for the $\$12$ pricing scenario? Drnfit Cnmnaricnn if $1?n?nr5??$ Momhore Inin at $\$1?$