The answer is recency. This part of the RFM model. It is a marketing investigation tool used to classify a firm's best customers by calculating definite factors.
The RFM model is founded on three quantitative factors which are:
Recency - How recently a customer has made an acquisition or purchase of productFrequency – How frequent or often a customer makes a purchaseMonetary Value - How much cash a customer spends on purchases
RFM analysis often sustains the marketing saying that "80% of business comes from 20% of the customers."
Answer:
Location 1
Payback period
= Cash outflow/Cash inflow
= $255,000/$51,000
5 years
Location 2
Year Cashflow Cumulative cashflow
$ $
0 (255,000) (255,000)
1 82,000 (173,000)
2 61,000 (112,000)
3 41,000 (71,000)
4 33,000 (38,000)
5 20,000 (18,000)
6 18,000 0
7 89,000
8 64,000
Payback period = 6 years
Explanation:
In location 1, we will divide the initial outlay by the annual cash inflows in order to obtain the payback period since the cash inflows are constant
In location 2, we deduct the initial outlay from the cashflow for each year until the cash inflow is fully recovered.
Answer:
True
Explanation:
An example is at a checkout station of a grocery store, where they scan UPCs
Answer and Explanation:
The computation is shown below;
Particulars Reject Order Accept Order Net Income
Revenues $0 $126,280 $126,280
(4,510 units × $28)
Variable manufacturing $0 $76,670 -$76,670
(4,510 units × $17)
Shipping $0 $18,040 -$18,040
(4,510 units × $4)
Net Income $0 $31,570 $31,570
Hence, the net income is in positive value so the special order would be accepted
Answer
The answer and procedures of the exercise are attached in the following images.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in 2 sheets with the formulas indications.