Answer:
diversification
Explanation:
because it is a technique that reduce risk by allocating investments across various industries
Answer: Option (d) is correct.
Explanation:
Correct Option: Marginal revenue equals marginal cost.
Pure monopoly is a market situation in which there is a single firm who are producing the goods and these goods are the close substitute. There is no other firm in the market. So, the monopoly firm is the price setter.
The output level that is produced by the profit maximizing monopoly firm is at a point where marginal revenue is equal to the marginal cost. It is the same profit maximizing condition that a competitive firm also utilize to find their equilibrium level of output.
Answer:
Cost to retail ratio = 57.05%
Explanation:
Particulars Cost Retail
Beginning Inventory $46,000 $66,000
Add: Purchases $213,000 $406,000
Less: Purchases Return $7,000 $9,000
Freight In $15,558 -
Net Markups - $6,400
Good Avail. for Sales (Without markdowns) $267,558 $469,000
Cost to retail ratio = $267,558/$469,000
Cost to retail ratio = 0.570486
Cost to retail ratio = 57.05%
Answer:
Residual income = Operating income - (r x Asset invested)
$8 million = $13 million - (r x 25 million)
$8 million = $13 million - r25 million
r25 million = $13 million - $8 million
r25 million = $5 million
r = $5 million/25 million
r = 0.2 = 20%
Thus, required rate of return is 20%
Explanation:
In this case, we need to apply the residual income formula. Operating income, asset invested and residual income have been given with the exception of rate of return. Thus, rate of return becomes the subject of the formula.
Merchandise planning is a method of selecting, managing, purchasing, displaying and pricing the products in a manner that they bring in maximum returns on investment.
Overall merchandise planning merchandise planning is about striving to make the right product available, at the right time, in the right place, in the right quantities, and at the right price.
