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As the West Coast Salesperson has said in the case, Milo does not seem like a potential buyer. And with the demonstration costs eating into the profits for Atlantic Aviation, it would not be a good decision to give Milo the demonstration flight. Also considering his company's Assets (7 million, inclusive of the King Air), it doesn't seem probable that he would spend 55.42% of its company's assets in the plane. He is ready to pay the $2 per mile for the demonstration trip but eventually there would be further losses in the whole deal which may not work out for Atlantic Aviation.
Thus in our opinion, the demonstration should not be given...
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