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gayaneshka [121]
3 years ago
9

There are several factors that predict when a skimming pricing policy is likely to be most effective, including situations in wh

ich Multiple Choice enough prospective customers are willing to buy immediately at a high initial price to make these sales profitable. leadership is expecting to meet high sales unit goals. consumers tend to be price-sensitive. consumers perceive your product to be similar to other products in the market. a lower price will significantly reduce unit costs.
Business
1 answer:
NeTakaya3 years ago
6 0

Answer:

Situations in which enough prospective customers are willing to buy immediately at a high initial price to make these sales profitable

Explanation:

Price skimming is  pricing strategy whereby firm sets a high initial price of a product that customers are willing to pay. Once demand of the first customers is satisfied, it lowers the price to attract price-sensitive customer segments. Therefore, the right choice would be "enough prospective customers are willing to buy immediately at a high initial price to make these sales profitable"

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"Mrs. Smith operates a business in a competitive market. The current market price is $8.10. At her profit-maximizing level of pr
STALIN [3.7K]

Answer:

Mrs.Smith should continue to operate the business in the short run but shut down in the long run.

Explanation:

According to the shut down rule, at the profit-maximizing positive level of output, a business in a competitive market should continue to operate in the short-term if the price equals to or is greater than the average variable cost, but should shut down in the long term if the price is less than or equal to total cost. Here,

price = $8.10

avg variable cost = $8.00

avg total cost = $8.25

Mrs.Smith should continue to operate the business in the short run but shut down in the long run.

8 0
3 years ago
Read 2 more answers
An individual is attempting to determine if it is necessary to register as an investment advisor due to the nature of some of th
statuscvo [17]

Answer:

[D]

Explanation:

Based on the information provided within the question it can be said that the Clients being accredited or qualified would not affect registration requirements or exemptions. This is due to Investment Advisors Act of 1940 and Investment Advisor would have to register if they are giving advice about  securities, being compensation, and being the business of giving advice, regardless if the client are accredited or qualified.

4 0
3 years ago
Seating Company is currently selling 1,400 oversized bean bag chairs a month at a price of ​$95 per chair. The variable cost of
-BARSIC- [3]

Answer:

Contribution Margin Income Statement

+Sales Revenue                        1,400 x $95 = $133,000

-Variable production costs     1,400 x $65 = ($91,000)

-Variable selling costs              1,400 x $2 = ($2,800)

=Contribution Margin                $133,000 - $91,000 - $2,800

                                                 =  $39,200

-Fixed production costs          ($13,000)

=Net profit                                = $39,200 - $13,000

                                                 = $26,200

7 0
3 years ago
The proactive prevention technique, ________, occurs when the marketing or public relations department suggests that something r
dsp73

The proactive prevention technique enhancements occur when the marketing or public relations department suggests that something relatively small is a bigger deal.

The American Public Relations Association defines public relations as "a strategic communication process that builds mutually beneficial relationships between an organization and its public." Basically, a PR specialist manages the public image and reputation of the organization.

Public relations is a unique management function that helps establish and maintain the interrelationships of communication, understanding, acceptance, and cooperation between an organization and the general public.

Learn more about public relations here

brainly.com/question/20313749

#SPJ4

7 0
2 years ago
Sam’s Appliance Outlet has variable expenses of 40% of sales. The manager reported monthly fixed expenses of $270,000. The month
solong [7]

Answer:

$125,000

Explanation:

total sales = ?S

variable expenses = S x 40%

fixed costs = $270,000

operating income = $75,000

S - 0.4S - $270,000 = $75,000

0.6S = $75,000 + $270,000 = $345,000

S = $345,000 / 0.6 = $575,000

total sales = $575,000

margin of safety = total sales - break even point

break even point = $270,000 / 0.6 = $450,000

margin of safety = $575,000 - $450,000 = $125,000

The margin of safety represents how much can a company's sales can fall until it reaches the break even point.

7 0
3 years ago
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