The firm that would suffer the greatest decline in profits if sales volume declines by 15% is Mason Company.
The cost of a company is made up of fixed cost and variable cost. Fixed cost is the cost that does not vary with output of the company. It remains fixed no matter the level of output. An example of fixed cost is rent. Variable cost is the cost that varies with output. If output increases, variable cost increases and if output falls, output decreases.
If sales volume decreases, the output of Mason Company would decline more compared with the output of Kelley company because it has a higher fixed cost. So, we when sales reduces, its cost would would not reduce as many as the cost of Kelley company.
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Answer:
Basket purchases.
Explanation:
Basket purchases is a term used for buying multiple fixed assets. It is bought as the price for basket purchases is lower than the price for individual asset. The transactions in the basket purchases are accounted for by using the relative sales value method to calculate unit purchase cost. It is calculated by dividing each sales value of product by the total sales value of all the product.
Answer:
B
Explanation:
when she is talking over the slides, some people are not good multi-taskers and want to listen to the more interesting thing, which is the audio.
They would opt to have a sale of bathing suits. They would offer discount from the original price of the bathing suit. In this way, the suits will be bought because its cheaper than before.
The store manager should make sure that the discounted price is still higher than the cost of the bathing suits so that they will still generate profit even at a lower value than initially expected.
Answer:
Logistics is generally the detailed organization and implementation of a complex operation. In a general business sense, logistics is the management of the flow of things between the point of origin and the point of consumption to meet the requirements of customers or corporations.
