Answer:
a.$92.30
b.27.55%
Explanation:
a. Computation for the contribution margin per pair
Sales 355.00 per pair
Less:Variable cost $262.70 per pair
Contribution margin $92.30 per pair
Therefore the Contribution margin per pair will be $92.30
b. Computation for the contribution margin ratio.
Using this formula
Contribution margin ratio=Contribution margin per unit/Selling price per unit
Where,
Contribution margin per unit =$92.30
Selling price per unit =$335.00
Let plug in the formula
Contribution margin ratio=$92.30/$335.00
Contribution margin ratio =27.55%
Therefore the Contribution margin ratio will be 27.55%
I think that’s a extremely awkward way of telling you he thinks you’re cute
Answer:
its long-run average total costs will fall
Explanation:
Economies of Scale is a term used in business operation or production manufacturing to describe the cost benefits a company or firm acquired when it expands its quantity or number of output. This often leads to a decrease in average variable cost.
Hence, the right answer is this situation is If a firm is experiencing economies of scale in its production process, "its long-run average total costs will fall"
Answer:
Epic Electronics is considering a strategy to charge a very high introductory price for their automobile video theater. After identifying that their rival firms did not carry this new product, they chose this pricing strategy to achieve maximum profits. Epic Electronics has chosen a<u> skimming </u>strategy.
Explanation:
Price skimming is a pricing strategy in which a marketer fixes a relatively high initial price for a product or service at first, then lowers the price over time. It is a temporal version of price discrimination/yield management.
