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goldenfox [79]
3 years ago
7

An executive of a large steel company put the blame for lower net income for a recent fiscal period on the ""shift in product mi

x to a higher proportion of export sales."" Sales for the period increased slightly while net income declined by a percent such as 25%. Explain how a change in product (sales) mix to a higher proportion in export sales could result in a lower level of net income.
Business
1 answer:
rodikova [14]3 years ago
3 0

Answer:

A business can improve its average contribution ratio and its overall profitability, by shifting its sales mix to include more products with high contribution margin ratios.

In this case American steel company shift in product mix is due to a higher proportion of export sales. This shift caused to decline net income of the company. This is because the contribution margin ratio on export sales may lower than the other product mix. So, the shift of product mix to low contribution sales will cause to decline the net income.

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igor_vitrenko [27]

Answer:

Time donated to a qualified veterans organization

Explanation:

The reason is that the company can only only deduct the products or services delivered which had cost the organization. The companies are not allowed to deduct the cost of time delivered however if the employee is specially paid to offer the services to qualified charitable institution then the charity would be tax deductable.

6 0
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Which work value is most likely to be important in a person's career choice?
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2 years ago
2)Torres Inc. recently began production of a new product, the halogen light, which required the investment of $600,000 in assets
madreJ [45]

Answer:

The selling price is $99

Explanation:

The selling price of the product can be computed by adding required profit margin to the unit cost of the product.The required profit margin is the 10% return on invested assets.

Total variable cost           $59*10000                =$590,000

Fixed expenses ($180,000+$60,000)               =$240,000

desired profit margin(10%*$600,000)                =$60,000

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3 0
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What are the two types of discretionary fiscal policy
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6 0
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Jennifer's income is too high to qualify for the credit on Form 8880, Credit for Qualified Retirement Savings Contributions.A. T
a_sh-v [17]

Answer:

given statement is true

Explanation:

solution

the given statement is true because  

by encouraging, people of the lower income is contributing to their retirement savings account.  

and IRS offers a tax credit for contributions to them for claim the retirement savings credit

so  Jennifer must use IRS form 8880

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so we can say given statement is true

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