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Business, 25.12.2019 01:31 xaiverrodriguez

Anike women’s-only store in california offers women’s running, training and sportswear products and also contains an in-store fitness studio for group and personal fitness training sessions. the store consistently earns profits in excess of $500,000 per year and is located on prime real estate in the center of town. the store owner pays $15,000 per month in rent for the building. a real estate agent approached the owner and informed her that she could add $8,000 per month to her firm’s profits by renting out the portion of her store that she uses as a fitness studio. while the prospect of acquiring this rental income was enticing, the owner believed the use of that space as a fitness studio was an important contributor to her store’s profits. what is the opportunity cost of continuing to operate the fitness studio within the store?

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