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Marysya12 [62]
4 years ago
8

Schrute Farm Sales buys portable generators for $ 480 and sells them for $ 770. He pays a sales commission of​ 5% of sales reven

ue to his sales staff. Mr. Schrute pays $ 7 comma 000 a month rent for his​ store, and also pays $ 1 comma 700 a month to his staff in addition to the commissions. Mr. Schrute sold 300 generators in June. If Mr. Schrute prepares a contribution margin income statement for the month of​ June, what would be his contribution​ margin?
Business
1 answer:
Leya [2.2K]4 years ago
5 0

Answer:

The answer is $210,750.

Explanation:

To calculate the contribution margin, we need to find the total income from the sales and then subtract all costs. If Mr. Schrute sold 300 generators for $770 each, then the total sales will be $231,000. The 5% commission from $231,000 will be $11,550. The total costs along with the rent and salary is $20,250. So the contribution margin in the contribution margin income statement will be $210,750.

I hope this answer helps.

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When Coca-Cola purchased first a part and then all of Honest Tea, what would have been appropriate ways to help this change be s
tensa zangetsu [6.8K]

Answer:

The most applicable choices in the order of importance are

C, B then A. Of course, they have to be applied at various stages of the acquisition.

Explanation:

C should have occurred (if possible) before the acquisition. Usually, when there is a major acquisition such as the one described above, it comes with good and bad tidings.

In some cases, especially one involving a large and efficient system like Coca-Cola, many positions become redundant.

In other cases, people are worried if their compensation will be affected. There are usually questions such as:

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  • Will my insurance or 401K be affected adversely? e.t.c.

Thus, executing a survey of Honest Teas' employees to identify such sources of anxiety and conflict related to the acquisition with the goal to address them constructively, will help the change to be successful.

Option B is one strategy that ought to have been executed upon the conclusion and official announcement of the acquisition exercise. This is the most crucial and maybe the most important part of the acquisition/takeover process.

This is true especially if there is going to be changes in management,  communication styles, and the culture.  Other benefits of team building excercises are, it increases and or improves:

  • Productivity
  • Morale
  • Staff Motivation and
  • Communication all of which are critical to the success of any organisation.

Option C: On the balance of probability, it is expected that when a bigger company like Coca-Cola acquires a smaller one, the process comes with a lot of benefits. One of such benefits is the payroll upgrade.

After all is said and done, it will serve to boost the motivation and morale of the staff if Honest Tea began to use Coca-Cola's payroll which is likely to be more robust.

Because Cocal-cola is an older, more experience and more global company, it is more likely to have more efficient reimbursement systems. If these are inculcated into the Honest Tea process, with adequate training on how to use it, it will also serve to ensure homogeneity of systems and operations which is critical to the success of an acquisition.

Cheers!

3 0
3 years ago
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Explanation:

Depreciation on assets is recognized by tax authorities as an expense that a business actually incurs so when the income statement is calculated, depreciation needs to be removed as the expense that it is so that taxes can be calculated on the profit.

Depreciation however, does not take actual cash from the company i.e the company does not actually pay anyone cash for depreciation like most other expenses. It needs therefore to be added back to the Free Cash Flow because the FCF deals with how much actual cash the company has which is something that Depreciation being a non-cash expense did not reduce.

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Hilton Hotels has diversified its lodging brands by adding Curio Collection, Tapestry Collection, and Canopy by Hilton, properti
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Answer:

The correct answer is D

Explanation:

Diversified is the term which is described as diverse or the varied. The hotels wants to have the different or varied brands so that the properties offer the personalized services, stylish and distinctive decors, which attract the professionals seeking the different alternatives.

So, in order to enhance the differentiation of the brands, the hotel should seek out or reach out the inputs which are of low quality.

6 0
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Answer:

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30

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