Answer:
A business can improve its average contribution ratio and its overall profitability, by shifting its sales mix to include more products with high contribution margin ratios.
In this case American steel company shift in product mix is due to a higher proportion of export sales. This shift caused to decline net income of the company. This is because the contribution margin ratio on export sales may lower than the other product mix. So, the shift of product mix to low contribution sales will cause to decline the net income.
Answer:
I don't think I can do that for me but its not my fault I'm sorry
Answer:
purchase; expansion; expansion
Explanation:
An open market purchase leads to a(n) expansion of reserves and deposits in the banking system and hence to a(n) expansion of the monetary base and the money supply
Open market operations is how central bank purchases or sells government securities in order to expand or contract money in the banking system and influence interest rates.
Answer: 3.75 Riyals / USD
Explanation:
The Real Exchange rate is different from the Nominal exchange rate as it takes into account, the differences between the 2 nations being compared in terms of prices of goods and services.
As such it can be used to calculate the Nominal rate;
Real Exchange Rate = (Cost in U.S. x Nominal Exchange Rate) / Cost in Saudi Arabia
2/3 = (10 x Nominal Exchange Rate) / 56.25
2/3 x 56.25 = 10 x Nominal Exchange Rate
10 x Nominal Exchange Rate = 37.50
Nominal Exchange Rate = 37.50 / 10
Nominal Exchange Rate = 3.75 Riyals / USD
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<em>The nominal exchange rate is 3.75 Riyals for every $1. </em>
