There are several reasons why this type of projects are nearly impossible to stop once they have been approved, even when costs skyrocket.
First, it is difficult to stop these projects because, when these start, a lot of moeny is put into them. When the cost begins to skyrocket, people believe that to stop the project would mean wasting all the money already invested. This prevents people from stopping the projects.
Another reason is the fact that many different companies, investors and institutions are involved in these projects. Coordination is difficult, and pmany parties have a vested interest in the completion of such works. This makes it difficult for the different parties to agree on the right moment to stop.
Answer:
the contribution margin per unit is $15 per unit
Explanation:
The computation of the contribution margin per unit is shown below:
Contribution margin per unit is
= Selling price per unit - variable cost per unit
= ($540,000 ÷ 9,000 units) - ($405,000 ÷ 9,000 units)
= $60 - $45
= $15 per unit
Hence, the contribution margin per unit is $15 per unit
Answer:
The correct answer is the option C: Media Mix
Explanation:
To begin with, in the area of marketing, there are four major variables to work with, the four Ps are: Product, Price, Place and Promotion. This last one, promotion, has the importance of finding the proper media o channel to deliver the message that was developed by the advertisers. Therefore that it is in this part where the employees of the company are looking forward to choose the better channels to deliver their message and the term of media mix in here indicates that group of channels that the workers decided. That is why, when Windows decide to deliver they marketing message of a new operative system they select a magazine, internet and direct mail, all that, comprehends its media mix.
Answer:
Explanation:
Provided that the demand is inelastic, there would be an increment in revenue.
Total revenue is calculated as the quantity of a good sold multiplied by its price.
There is a close interrelation between price elasticity of demand and total revenue, in the sense that they deal with the same two variables - which are price and quantity.
If the product has an elastic demand, revenue can be increased by decreasing the price of the good. Q will increase at a greater rate, while P will decrease, thereby, increasing the total revenue.
If the product has an inelastic demand, then the prices of goods can be increased and sold slightly less of that item but a higher revenue must be obtained.
