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Law Incorporation [45]
2 years ago
11

chris and his best friend jason have just opened a specialty beer bar in phoenix, arizona. they know the bottom-line profit they

want to turn their first month, so they set prices accordingly. chris and jason are using .
Business
1 answer:
wariber [46]2 years ago
8 0

Chris and Jason are using target return on investment (ROI).

Investment is the determination of an asset to obtain growth in value over a time period. Funding calls for a sacrifice of some gift asset, including time, cash, or effort. In finance, the cause of investing is to generate a return from the invested asset.

Investment definition is an asset obtained or invested in to construct wealth and save money from the tough earned profits or appreciation. Investment means primarily to gain an extra source of profits or advantage profit from the investment over a particular time frame.

In a financial outlook, an investment is the purchase of goods that aren't fed on today but are used in the destiny to generate wealth. In finance, funding is a monetary asset bought with the concept that the asset will provide earnings similarly or will later be bought at a better price fee for income.

Learn more about investment here brainly.com/question/25300925

#SPJ4

You might be interested in
Nuzum Corporation has two divisions: Division M and Division N. Data from the most recent month appear below: Total Company Divi
lisov135 [29]

Answer:

$ 183,544.30 = $ 183,544

Explanation:

Nuzum Corporation

                                       Total             Division M         Division N          

Sales                              $557,000          $254,000      $303,000

Variable expenses          144,910             81,280             63,630

Contribution margin        412,090            172,720          239,370

Traceable fixed expenses 273,000        128,000          145,000

Segment margin                139,090          44,720            94,370

Common fixed expenses 94,690           43,180               51,510

Net operating income    $ 44,400          $ 1,540           $ 42,860

First we find the Segment CM ratio by the following formula:

Segment Contribution Margin Ratio= Segment Sales- Segment Variable Expenses/ Sales

Segment Contribution Margin Ratio= 303,000 -63630/303000

Segment Contribution Margin Ratio= 239370/303000=0.79

Then we find the break even sales in dollars.

Break Even Sales in Dollars= Traceable Fixed Expense/ Segment Contribution Margin Ratio

Break Even Sales in Dollars =145,000/0.79=  $ 183,544.303

5 0
3 years ago
Fatima is struggling in her job and is experiencing increased dissatisfaction. She related to you that her manager has been unfa
Akimi4 [234]

Answer:

C

Explanation:

Affective component is the feeling a person has towards a situation that result from his/her belief about a person or situation.

For instance: a person who works hard and believes hard work earns promotion may feel anger or frustration when he or she works but is not promoted and will be affected in this situation.

This reflects Fatima feeling towards her manager when her colleague who deserved less promotion than she did was promoted, she was affected when this happened which is why she doesn't like her manager.

3 0
3 years ago
In the beginning, a low base salary for the owner, with a bonus at the break-even point is?
frez [133]

Answer:

The best solution

Explanation:

I took the test and got it right

7 0
3 years ago
To be eligible for business deductions, your business must make a profit in any __________ years of a __________-year period.
mixer [17]

Answer:

To be eligible for business deductions, your business must make a profit in any __________ years of a __________-year period.

b. 3,5

Explanation:

The IRS safe harbor rule states that a business must make a profit in 3 out of 5 consecutive years to be regarded as a business that is established for profit-making motive.  This implies that if profits are not made in 3 of 5 consecutive years, IRS will not presume that the entity is established for profit, thereby affecting the entity's ability to claim business deductions.

7 0
3 years ago
Question #1: Barney owns a bagel business in New York City and he wants to increase his total revenue. He knows that when bagels
omeli [17]

Answer:

a. Calculate the price elasticity of demand for Barney’s bagels.

0.4 price inelastic

b. Using the price elasticity of demand for Barney’s bagels, explain whether he should raise or lower the price to generate more revenue.

Barney should increase his prices in order to increase total revenue.

c. A bakery moves in across the street from Barney’s shop. Explain what is likely to happen to the price elasticity of demand for Barney’s bagels.

If a bakery moves in front of Barney's bagel place, then the PED of his product is probably going to increase. The higher the competition, the higher the PED. This means that any change in price will result in a higher proportional change in quantity demanded.

2) I do not agree with that statement. If the PED is price inelastic, then increasing the product's price will increase total revenue, but if the PED is price elastic, any small increase in price will result in a larger decrease in quantity demanded. If the PED is price inelastic, then any change in price will not alter total revenue.

Explanation:

The price elasticity of demand shows us how a 1% change in price will affect the quantity demanded of a product.

PED = % change in Q demanded / % change in price

% change in Q demanded = (275 - 250) / 250 = 10%

% change in price = (0.75 - 1) / 1 = -25%

PED = 0.1 / -0.25 = -0.4 or |0.4| in absolute terms

The PED for Barney's bagels is demand inelastic (PED < 1), therefore, a 1% change in price will result in a smaller proportional change in quantity demanded.

If Barney increases his price to $1.50 instead of lowering it, the quantity demanded will decrease only by:

% change in Q demanded = 0.5 change in price x 0.4 = 0.2 or 20% decrease

his total revenue will increase from $250 per hour to 200 x $1.50 = $300 per hour.

5 0
4 years ago
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