Government policies specific to the entrepreneurs business is the answer. This is the only external factor.
The answer is when global demand for exclusive and private-label footwear is so far under global plant volume that it will be intolerable for most all companies to cost-effectively operate their plants at full volume for many years to come. If the prediction shows that global demand is far under global volume, then it isn't conceivable for everyone to sell everything. In this circumstance the most liquid and solvent company will appear ahead, maybe a company could hold onto volume and ferociously hold onto market share.
Answer:
profit margin 7.77%
<em><u>Interpretation: </u></em> from evey dollar of sales the firm achieves almost 8 cent of net income
inventory turnover ratio 3.45
<em><u>Interpretation: </u></em>the inventory is sold 3 and a half times during the year
Explanation:
the profit margin is the quotient between net income and sales.
127,500 / 1,640,000 = 7.77%
the inventory turnover wil be the cost of good sold over the average inventory during the year
(312,500 + 257,500)/ 2 = 285,000
982,500 / 285,000 = 3,447368421
Answer:
The correct answer is B.
Explanation:
Giving the following information:
The variable costs are $4.50 per unit. London Plastics sell 15,000 units.
To calculate the total variable costs we need to use the following formula:
Total variable cost= unitary variable cost* total amount of units
Total variable cost= 4.5*15,000= $67,500
