Answer:
Multiplier or k = 1.428571429 rounded off to 1.43
Explanation:
A change in consumer income leading to an increased consumer spending based on the Marginal propensity to consume or MPC can have a much larger effect in the economy due to the multiplier. A multiplier is the is the amount of new income that is generated form an addition of extra income.
The marginal propensity to consume or MPC is the percentage of the additional income that will be used for consumption spending. The formula to calculate the multiplier, also denoted as k, is:
k = 1 / (1 - MPC)
k = 1 / (1 - 0.3)
k = 1.428571429 rounded off to 1.43
Answer:
$320,000
Explanation:
Given that,
Planning to sell hammers = 200,000
Selling price per unit = $8
contribution margin ratio = 20%
At break even, Fixed costs = Contribution margin
Therefore,
Contribution margin ratio:
= (Planning to sell hammers × Selling price per unit) × contribution margin ratio
= (200,000 × $8) × 20%
= $320,000
Thus,
Fixed costs = $320,000
All the options given above about ESOP are TRUE. ESOP is an acronym for Employee Stock Ownership Plan. ESOP is an employee benefit plan designed as an investment stock shares in the sponsoring employer's company. In this type of arrangement, the company has the liberty to transfer the company to its employees at its own discretion. ESOP is only practicable in companies whose pre-tax profits is greater than $100,000 and whose employees are at least twenty in number.
Answer:
This is an example of guerilla marketing.
Explanation:
Answer:
Probably the product that has been on its maturity state the longest is Coke. Coke has been on its maturity stage for almost a century now. the Coca Cola company is the king of marketing and even though they have made mistakes in the past, e.g. Coke II, you can find Coke everywhere in the world. Even the countries where it is not sold legally, e.g. Cuba and North Korea, you can still find it.
Occasionally different versions of Coke appear since the company must try to differentiate themselves and it is continuously competing against other beverages.
