There is not enough information to determine which firm to buy.
Answer: Option C
<u>Explanation:</u>
In the question above, only the profit margin of both the firms are given, but only on these basis, it cannot be decided which firm to be bought. A lot of other things are to be kept in mind while taking into consideration the decision of buying a fir.
Even if both the firms are working in the equilibrium condition which is the condition of MR = MC, then also it can not be decided, which one firm to buy.
Answer:
The question lacks answers:
<em>a. overcoming reservations
</em>
<em>b. generating and qualifying leads
</em>
<em>c. the presentation
</em>
<em>d. the preapproach
</em>
<em>e. follow-up</em>
The answer is: a. overcoming reservations
The answer can be formulated as - handling objections
Explanation:
The sales presentation process usually follows the sequence:
<em>generating and qualifying leads -> the preapproach -> the presentation -> overcoming reservations -> closing -> follow-up</em>
The part of overcoming reservations is one of the most critical parts of the sales process, as it includes the addressing of the potential concerns a lead may have. This is the part when most salespeople end the whole process, as they are mostly not prepared to argument their sales pitch.
In this example, Patrick is confident and persistent in his efforts to emphasize the benefits of the system, even though the client expressed some concern about it. Patrick successfully overcame the client's reservations by explaining the benefits further.
He should lease the car he is not going to need it for a long tme
Answer: 446
Explanation:
Net Income will be calculated as:
=(Sales - Operating costs - Depreciation - Bond × interest rate) × (1-tax rate)
= (8250 - 5750 - 1000) - (3200 × 5%) × (1-35%)
= 1500 - (3200 × 0.05) × 65%
= (1500 - 160) × 0.65
= 1340 × 0.65
= 871
Free Cash flow will be calculated as:
= (8250-5750-1000) × (1-35%) + 1000 - 1250 - 300
= 425
The firm's net income will exceed its free cash flow by:
= 871 - 425
= 446
