Answer:
$2,200,000
Explanation:
Fixed cost = $12,500,000
Variable cost = 525,000 * $12 = 6,300,000
Total cost = Fixed cost + Variable cost = $12,500,000 + $6,300,000 = $18,800,000
Total revenue = 525,000 * $40 = $21,000,000
Profit = Total revenue - Total cost = $21,000,000 - $18,800,000 = $2,200,000
Therefore, the profit it will earn in terms of dollars is $2,200,000.
Incomplete question. Assumed you are referring to this article;
Six years after turning the leadership of Costco Wholesale over to the then- president, Craig Jelinek, Jim Sinegal, Costco’s co-founder and chief executive officer (CEO) from 1983 until year-end 2011, had ample reason to be pleased with the company’s ongoing revenue growth and competitive standing as one of the world’s biggest and best consumer goods merchandisers. Sinegal had been the driving force behind Costco’s 35-year evolution from a startup entrepreneurial venture into the largest retailer in the United States, the seventh-largest retailer in the world, and the undisputed leader of the discounted warehouse and wholesale club segment of the North America retailing industry. Since January 2012, when Craig Jelinek took reins as Costco Wholesale’s president and CEO, the company had prospered growing from annual revenue of $89 billion and 598 membership warehouse at year-end fiscal 2011 to annual revenues of $126.2 billion and 741 membership warehouse at year-end fiscal 2017. Costco’s growth continued in the first nine months of fiscal 2018. 9-month revenue was $95.0 billion, up 12.0 percent over 9 months of fiscal 2017, and the company had opened four additional warehouses. As of June 2018, Costco ranked as the second-largest retailer in both the United States and the world.
<u>Explanation:</u>
Note, the threat arising from new competitors into a particular market refers to the likelihood that this company or business would overtake existing ones in their market share.
However, <em>recall </em>that we are told that Costco has been in the business for up to 35 years, and has become "the undisputed leader of the discounted warehouse and wholesale club segment of the North America retailing industry," this fact alone makes us and the new competitors weary of how difficult to acquire part of the market. This thus puts Costco at a competitive advantage.
Answer: $88,844
Explanation:
Financing activities relate to those activities that the company gets into in relation to Equity and debt as these are what finance the operation of the business.
Net Cash from Financing activities = Net inflow - Net Outflow
= New Debt Capital - Repaid debt - Treasury stock purchase
= 913,545 - 773,200 - 51,501
= $88,844
Answer:
b. freight absorption pricing
Explanation:
This is a pricing arrangement where the manufacturer/seller bears the cost of shipping and freight while the buyer only pay for the quoted cost of the goods.
Its a pricing strategy used by firms to attract more customers and encourage sales. Although in some cases, the freight cost have already been included in the cost of the goods.
Answer:
<u>a. It can be a source of competitive advantage.</u>
<u>Explanation:</u>
<em>Remember</em>, a diverse workplace is one where you find a diverse range of individuals from different cultures, gender, race, age, sexuality, language, educational background, etc all working together to achieve the goals of the organization.
By having this diversity in the workplace an organization can rightly tap into the wealth of experience of its staff in understanding how to better position their products or services into the market.
