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wel
3 years ago
12

I will pay 5$ to the who solve it

Business
1 answer:
elena55 [62]3 years ago
4 0

Answer:

a. The price that the company should sell the new toy at if it prices at cost plus profit at 100% profit markup is:

= $20.

b. The price that the company should sell the new toy at if it prices using competitive pricing is:

= $22.50 (average of competitors' prices)

c. The price that the company should sell the new toy at if it prices using penetration pricing is:

= $20 (lowest market price)

d. The price that the company should sell the new toy at if it prices using price skimming is:

= $25.

Explanation:

a) Data and Calculations:

Cost of producing a new toy = $10

Competitors' prices are:

Product A – $25

Product B – $20

Product C – $23

Product D–  $22

Total =          $90

Average price = $22.50 ($90/4)

Cost =   $10

Markup   10 ($10 * 100%)

Price = $20

b) An important consideration in the pricing of products is customers' and competitors' reactions to the firm's selling price.  The purpose of considering customers is to ensure that enough demand is generated to cover production cost and make profits.  Competitors can wage price wars to discourage new entrants into their markets.  Many pricing methods are in use, depending on the prevailing market realities.

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Answer:

B) reach.

Explanation:

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In advertising, reach means how many people or households are exposed to your marketing campaign.

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4 years ago
You need $25,000 today and have decided to take out a loan at 7 percent for five years. Which one of the following loans would b
irina1246 [14]

Answer:

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Explanation:

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4 0
3 years ago
A shoe store is for sale for $2,000,000. It is estimated that the restaurant will earn $200,000 a year for the next 11 years. At
Sergio [31]

Answer:

The NPV is -$200956.3508. Thus, the shop will not be purchased as the NPV from this investment is negative.

Explanation:

To take the decision to buy or not buy the shoe store, we need to calculate the Net Present Value of the investment in the shoe shop. The net present value (NPV) is the present value of future expected cash inflows from the investment less the initial outlay/cost.

If the NPV is positive, the investment will be done and shop will be purchased and vice versa.

As the cash in flows consist of an annuity of 200000 for 11 years along with a principal sale value, the NPV will be,

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3 years ago
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Answer:

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Answer:

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8 0
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