Answer:
1. Free cash flow= NOPAT - Net investment in total operating capital
Free cash flow = $925 - ($2,500 - $2,000)
Free cash flow = $925 - $500
Free cash flow = $425.
2. Particulars Amount
Earnings before Interest and Tax $700
Less : Taxes at 35% <u>$245</u>
Net operating income after tax (NOPAT) <u>$455</u>
Therefore, The Net operating profit after Tax (NOPAT) is $455.
Answer:
Letter A is correct. Pull; Push.
Explanation:
<u>The pull strategy </u>is most emphasized by business-to-consumer companies because it is used to attract consumers through intense marketing and advertising communication, whose primary goal is to create brand value through customer loyalty.
<u>The push strategy</u> is more commonly used in business-to-business as it means pushing and bringing the products or services to the customer, is a strategy that involves direct selling usually exposed to the potential customer in showrooms and involves negotiations with retailers for example, offering discounts and special conditions to sell your products at your points of sale.
Answer:
Break-even point= 3429 units
Explanation:
Giving the following information:
Total Units for information given 7,000.
Fixed Cost per Unit $150
Selling Price per Unit $ 475
Variable Costs per Unit $125
Target Operating Income $ 150,000
Break-even point= fixed costs/ contribution margin
Break-even point= (150*7000 + 150,000) / (475 - 125)= 3429 units
Answer:
3.15%
Explanation:
The computation of the arithmetic average rate of return is shown below:
Arithmetic mean = (Year 1 + year 2 ...... Year n return) ÷ (Total number of years)
The rate of return is
= (Capital gain + dividend) ÷ Price
For 2010 - 2011 = ($110 - $100 + 4) ÷ $100 = 14%
For 2011 - 2012 = ($90 - $110 + $4) ÷ $100 = -14.55%
For 2012 - 2013 = ($95 - $90+ 4) ÷ $90 = 10%
Now the arithmetic average rate of return is
= (14% - 14.55% + 10%)
= 3.15%
Answer: the correct answer is c. Administrative actions by the channel manager are necessary to develop channel member cooperation.
Explanation:
Channel members are those people or individuals who are involved in the buying and selling of goods and services in the market.There are three types of channel members. They are: Agents. Wholesaler. Retailer.