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3 years ago

A reduction in transaction costs will tend to

Business

1 answer:

loris [4]3 years ago

6 0

Answer:

increase the number of mutually beneficial exchanges that occur.

Explanation:

When you reduce the transactions cost, the number of transactions increase, it means that every agent it’s benefit, because the buyer could afford more transactions and the seller could reduce the price of their products or services that are included in the purchase. Even the agent it's in charge of the transaction its benefit too, because the number of transactions increase due to the increase of the demand.

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Portfolio management matrices are applied to what level of strategy?.

bazaltina [42]

Answer:

Portfolio managers oversee a collection of projects, programs and other activities that are grouped together to meet strategic business objectives. The practice of portfolio management is integral to the implementation of your organization’s overall strategic plan.

Explanation:

3 0

2 years ago

Jilk Inc.'s contribution margin ratio is 60% and its fixed monthly expenses are $48,000. Assuming that the fixed monthly expense

Kryger [21]

Answer:

The best estimate of the company's net operating income in a month is <u>$34,800</u>.

Explanation:

This can be calculated using the following steps:

Step 1: Calculation of contribution margin

This can be calculated using the formula for calculating the contribution margin ratio as follows:

Contribution margin ratio = Contribution margin / Sales ........... (1)

where,

Substituting the values in the question into equation (1) and solve for contribution margin, we have:

60% = Contribution margin / $138,000

Contribution margin = 60% * $138,000 = $82,800

Step 2: Estimation of the company's net operating income in a month

This can be calculated using the following formula:

Net operating income = Contribution margin - Fixed expenses ......... (2)

Substituting the $82,800 obtained in Step 1 for contribution margin and the fixed monthly expenses of $48,000 in the question into equation (2), we have:

Net operating income = $82,800 - $48,000 = $34,800

Conclusion

From Step 2 above, the best estimate of the company's net operating income in a month is therfore <u>$34,800</u>.

4 0

3 years ago

The ________reveals whether or not additional sales revenue can offset an increase in costs in the flexible budget performance

BARSIC [14]

Answer: (B) Sales volume variance

Explanation:

The sales volume variance is basically defined as the difference between the expected sold unit and the actual sold unit. The formula of sales volume variance is given by:

Sales volume variance = (Actual sold - Budget sold) × budget price

The sales volume variance is caused due to the price, product recall and the competition. It is also known as the sale quantity variance. The sales volume variance is basically reveals the total additional sale revenue that increase the cost of budget.

Therefore, option (B) is correct.

5 0

3 years ago

3. Persuasive advertising is used to build ________ demand. It is used when products are ________ and competition is still enter

OLEGan [10]

Answer:

3. Persuasive advertising is used to build selective demand. It is used when products are established and competition is still entering the market.

4. Reminder advertising is used for mature products to maintain existing customer awareness and loyalty.

Explanation:

Persuasive advertising is a type of product promotion, where customers are attempted to be influenced to purchase a particular product in the presence of many other similar products in the market. Testimonies by leaders and celebrities are used to convince that this product is superior to its competitors. This has selective demand because instead of providing a lot of information as informative advertising does, it is more deceptive and user-oriented. Its goal is to build selective brand preference by communicating a unique personal benefit to the consumer.

Reminder advertising is a marketing strategy where brief messages are sent with the objective of reminding a target audience about a particular product or service. This is used for mature products, which are already existing in the market and the business simply wants to ensure that it can maintain its competitiveness and that customers remember this brand even when new competition arrives.

8 0

3 years ago

In order to maximize total utility for a selection of products, each time we should select the product with a MU/P ratio that is

arlik [135]

In order to maximize the total utility we get from a product, we should select products that have a MU/P ratio that is <u>higher</u>.

<h3>How can we maximize utility?</h3>

Utility can be maximized when we pick products that give us a higher utility per price.

The MU/P ratio shows the marginal utility we get from an item per the amount we spend on it. We should therefore pick products that have a higher ratio.

Find out more on the MU/P ratio at brainly.com/question/16927502.

#SPJ1

3 0

2 years ago