Answer:
1. $1,160,000
2. $534,600
Explanation:
1. Computation for the amount of total dollar sales
Using this formula
Total dollar sales=Fixed costs plus pretax income / Contribution margin ratio
Let plug in the formula
Total dollar sales=$626,400 / 54%
Total dollar sales =$1,160,000
($266,000+$360,400=$626,400)
Therefore the amount of total dollar sales is $1,160,000
2.Computation for the amount of total variable costs.
Sales $1,160,000
Less:
Fixed costs ($265,000)
Pretax income ($360,400)
Variable costs $534,600
Therefore the amount of total variable costs is $534,600
Answer:
The correct answer is: ''up or out'' strategies.
Explanation:
To begin with, the <em>''Peter Principle''</em> is the name that receives a phenomenon in the area of management that was developed by the Laurance Peter who observed that workers in a hierarchy tend to ascend until their level of incompetence, that is, that the employees ascend until they do not have succes any more and once they are in the level of incompetence they will not longer be good enough for the position.
Secondly, in order to avoid that kind of situation, the organization tend to use an ''up or out'' strategy in which the main purpose is to encourage the employee to keep pushing his limits or if he does not ascend again or proof to the company to be better then he will be fired from the organization.
Answer:
Explanation:
As long as IKEA is able to deliver value and differentiation via quality, cost, and new designs, then the IKEA way of putting people through the different departments before making checkouts, will not spell trouble.
Furthermore, the movement of people through the different departments will give consumers, exposure to other new products available and it will make them aware of the quality present in other goods. As a result, the consumer and the company will benefit from increased sales.
Here, IKEA has to assure that quality is to be maintained and movement through the different departments should not be high traffic and it will be convenient for people to easily move through to remain interested in visiting the IKEA stores on a regular basis.
Thus, it will be the right step to build a sustainable business model by IKEA.
Answer:
The mayor thinks demand is inelastic, and the city manager thinks demand is elastic.
Explanation:
- Inelastic demand is when there is no noticeable change in product demand as the price of the product changes drastically. This type of environment is seen when there are no good substitute for the product.
- Elastic demand is when a slight change in product price changes the market demand for the product. This occurs when there are substitutes.
- Here, the mayor thinks there is inelastic demand and the city manager thinks the demand is elastic.
Answer:
a. lead users
Explanation:
Lead users -
The term lead users was coined by Eric von Hippel .
And it is defined as , the user of a product or commodity or service , which is still not publicly available and these users innovate or modify according to their convenience .
Same is the case with data given in the question , the customers are the Lead users , who give new innovative ideas to improve or modify the product .