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2 years ago

If the consumer price index changes from 125 in september to 150 in october, what is the rate of inflation?.

1 answer:

4 0

The rate of inflation is 20%.
In September price is = 125
And in October price = 150
rate of inflation = (150 -125)/125 x 100
= 25/125 x 100
=0.2 x 100 = 20%

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3 years ago

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Rigby's product manager is considering lowering the price of the don product by $2.50 and wants to know what the impact will be on the product’s contribution margin. Assuming no inventory carry costs, Don's contribution margin, if the price is lowered, will be 4.00%

“Contribution margin suggests you the mixture quantity of sales to be had after variable expenses to cowl fixed prices and provide earnings to the organization,” Knight says. you would possibly think about this as the part of income that allows offsetting fixed costs.

Contribution Margin = Net Revenue - Variable Expenses

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