Comprehensive Listening, when you look for cues and body language to discover hidden messages.
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Answer: a. reduced lead times
Explanation:
Lead time in a process refers to the amount of time it takes from the process's initiation to its conclusion. In general in Business, the shorter the lead time of a process, the better for the business as it usually leads to higher productivity, output and revenue levels.
Same goes for the reduction of lead times in transaction with vendors. With a shorter lead time, the process of making goods available for sale would be less and thus the goods can be sold in the market quicker therefore reducing inventory levels.
Fixed costs of $300,000 and profit of $150,000. if sales increase 20% The profits increase 60%.
<h3>How much will profits increase?</h3>
$300,000 plus $150,000 equals $450,000 in contribution margin.
$300,000 + $150,000 = $450,000.
Operating leverage is calculated as follows:
$450,000/$150,000
= 3. 20% x 3 = 60%
The profits increase 60%.
- Four important elements can contribute to profitability. Costs are coming down, turnover is going up, production is going up, and efficiency is going up. You can also develop new goods or services or grow into new market segments.
- By increasing revenues, such as through the sale of additional products or services or by raising pricing, businesses can raise their net margin. By cutting costs, businesses can raise their net margin.
To learn more about profits increase refer to:
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