The market in a nation's circular flow in which households provide firms with the factors of production (land, labor and capital) in exchange for money incomes (rent, wages and interest). Firms are the buyers, households are the sellers in the resource market. « Back to Glossary Index.
The department should be eliminated. The financial advantage of eliminating the department is that it will increase the total profit of the whole company by $31,000
This question relates to deleting a product or segment. The net contribution will be computed by deducting the avoidable fixed cost from the contribution margin. The avoidable fixed cost is total fixed cot minus unavoidable fixed cost. Since the net contribution is negative, it implies that the department should be eliminated.
Based on the information provided within the question it can be said that the type of contract that is being illustrated in this scenario is a straight land contract. This is a contract where the interest cannot be overrided and payments are not specific, meaning that you can go paying the contract off little by little but the interest will adjust accordingly.
Customer Lifetime Value is the assessment of the value that a particular customer will add, or give to a company, during his or her lifetime.
Tyche Inc. is focusing on customer lifetime value because its business strategy consists in catering to loyal customers who are likely to spend money on the company during an important percentage of their lifetimes.
Todd and Jim quickly learned that running a sailing business required a lot more than just taking folks for boat rides in exchange for a few dollars. In order to succeed as entrepreneurs Todd and Jim had to be all of the following except: Self-nurturing.
Self-nurturing has never been identified as a quality for successful entrepreneurs although it is necessary to nurture oneself, what is required of entrepreneurs is to Self-directed
, Highly energetic
, Risk averse and Action-oriented