<span>Well if they are trying to maximize profits then they need to charge more per seat. At 25 seats costing $32.00 per seat you will break even. If the price is not altered then they will not make a profit. I would up the price at least 30%-50% so that they will make a respectable amount of profit on each seat.</span>
Answer:
$8,222
Explanation:
The computation of increase in net operating income is shown below:-
Contribution margin per unit = Contribution margin ÷ Sales volume units
= ($31,500 ÷ 1,000)
= $31.5
Increase in net operating income = Contribution margin - Fixed expenses
= (1,001 × $31.5) - $23,310
= $8,222
Therefore for computing the increase in net operating income we simply applied the above formula.
Answer:
$344,000
Explanation:
Assets, liabilities, and equity combine to form the accounting equation. their relationship in the accounting equation is as follows,
Assets = Equity + Liabilities
In this case,
Asset =??
Liabilities=$117,000
Equity =$227,000
Therefore,
Assets = $117,000 + $227,000
Assets = $344,000
Answer:
$12
Explanation:
The computation of the value of the share is shown below:
Value of the share is
= Dividend ÷ (Required rate of return - shrinking rate)
where,
The Dividend is $3
The Required rate of return is 15%
And the shrinking rate is 10%
Now placing these values to the above formula
= $3 ÷ (15% - (-10%)
= $3 ÷ 25%
= $12
Answer:
integrated marketing system
Explanation:
Integrated Marketing system harmonizes various channels that represent the promotion dimension of the 4 Ps to convey a value proposition to customers. It is an effective strategy that gives competitive advantage, as well as increase sales and profits efficiently. This system is effective in attracting and retaining customers as it enables a two way dialogue with customers.
