A shift in the sales mix could result in both a higher break-even point and a lower net income.
The relative proportions in which a company's products are sold are referred to as the sales mix.
If the sales mix shifted from high contribution margin products to low contribution margin products, the break-even point would rise and net operating income would fall.
Such a shift would cause the company's average CM ratio to fall, resulting in less total contribution margin for a given amount of sales.
As a result, net operating income would fall.
The break-even point would be higher with a lower contribution margin ratio because more sales would be required to cover the same amount of fixed costs.
Hence, a shift in the sales mix could result in both a higher break-even point and a lower net income.
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The most suitable strategy for all parties to communicate is by using a videoconference in which allows all of the people to have a meeting and to be able to see each of the people involved in a meeting. Using a conference call may also be useful but the lacking of it is that you may not be able to see the people you're talking to. Other choices aren't suitable as this will not allow you to talk to everyone all in the same time.
Yes of course. When people are given a higher salary there is a much better chance of them to work more. Look at it this way: If someone pays you $8 an hour and someone else pays you $10 for the same exact job, which one are you most likely going to choose? The second one, right? And with that higher pay per hour will most likely result in better work ethic and more production.
Answer:
Units to be produced 6,075
Explanation:
July production budget
sales for the period 5,900
desired ending inventory
25% of next month
25% of August
25% of 6,600 = <u> 1,650 </u>
Total requirement needs 7,550
Beginning Inventory (1,475)
Units to be produced 6,075
The forecast sales and the desired ending inventory are the needs for production, the beginning inventory is an amount we already have. So it decreases our production demand.
Answer:
Negative, since to purchase more of one good means giving up some of the other good.
Explanation:
A budget line illustrates the number of goods, consumers are able to buy with lower income. Thus the price of goods and customers income to be spent on goods determine the budget line.
The slope of the budget line measures the opportunity cost of consuming Commodity A forgetting Commodity B. In order to get more of Commodity A, the consumer will have reduce the consumption of Commodity B Forefeiting the opportunity to consume Commodity B is the true opportunity cost of Commodity A and this measured by the slope of the budget line.
The slope of the budget line shows the amount of a commodityB the consumer must forfeit to purchase one more unit of a commodity A and the slope is usually Negative.
