When raising prices they need to be careful because it may drive customers away and when lowering them they need to make sure they are still making profits.
Based on the given information above about the Zook Company which is a wholesaler company, the type of wholesaler that it falls into is in the JOBBER. It is classified as a jobber since the Zook company only has a limited merchandise as well as their functions are limited too. In addition, they do not give any feedback to the manufacturers from the retailers.
Answer:
Line extension
Explanation:
Line extension refers to a situation where a company introduces a new product that is related to an existing product line.
Line extension is designed to meet the needs of a particular segment of the market.
The new product could be described with a different flavor, colour, ingredients, size etc.
For instance, Coca-Cola is an existing product, if the company that produces Coca-Cola decides to introduce Coca-Cola with zero sugar.
The ingredients has changed and the new Coca-Cola with zero sugar is now designed to meet the needs of a particular segment of the customers which is the diabetic patient.
Answer:
The most commonly used base for a common size Balance Sheet is
Total Assets
Net Sales is used for Common sized Income Statement
The correct statements are:
An improvement in Inventory Turnover ratio could likely be explained by new technology that led to better inventory management
Ability to meet debt obligations has worsened as the ratio has increased
Increase in Debt equity ratio does not mean decline in credit worthiness
Market value has not decreased as the price to cash flow ratio has increased
Answer: F
Explanation: Because all of them except D is valid