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dem82 [27]
3 years ago
10

Sales promotions that provide consumers an incentive to buy a product, such as a cents-off coupons or a discount, are widely use

d, especially for the type of products we buy in the grocery store. For the company offering the discounts and coupons, one of the risks with such a strategy is that _______________.it is challenging to track usage of the couponsit will not provide a believable messageretailers are typically not interested in helping out with such campaignsconsumers who typically buy other brands will switch to the promoted brandit might only appeal to already loyal customers who stockpile the product when it is on sale for later consumption
Business
1 answer:
Nady [450]3 years ago
6 0

Answer:

it is challenging to track usage of the coupons

Explanation:

Coupons are defined as an instrument that is used to obtain a discount or rebate when making a purchase.

Stores usually give out coupons to customers as an incentive to by products.

However there will be challenge of tracking the coupons as well as the discount on each coupon.

Coupons are given at different discount rates at different times, so it is cumbersome to track a particular coupon out of the many issued when customer wants to redeem it

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Suppose you've just inherited $10,000 from a relative. You're trying to decide whether to put the $10,000 in a non-interest-bear
ch4aika [34]

Answer:

a. $800

b. $1,000

Explanation:

In this case, the opportunity cost of holding the money instead of buying a U.S. Treasury bond is determined as the yearly interest payed by the bond.

a. interest rate = 8%

The opportunity cost of keeping the $10,000 is:

C = \$10,000*0.08 = \$800

b. interest rate = 10%

The opportunity cost of keeping the $10,000 is:

C = \$10,000*0.10 = \$1,000

8 0
3 years ago
The company is currently selling 5,000 units per month. Fixed expenses are $243,000 per month. The marketing manager believes th
REY [17]

Answer:

If the company decides to increase its advertising budget, its net profits will  decrease by $200 (= $56,800 - $57,000).

Explanation:

The company is currently selling 5,000 units per month at $150 per unit, and its total variable costs are $90 per unit.

Fixed expenses are $243,000 per month.

Current income statement:

sales revenue =                    $750,000

minus variable costs =         ($450,000)

<u>minus fixed costs =              ($243,000)  </u>

net income =                           $57,000

If the company increases its advertising budget be $11,000 it should sell 180 more units per month, the new income statement would be:

sales revenue =                    $777,000

minus variable costs =         ($466,200)

<u>minus fixed costs =              ($254,000)  </u>

net income =                           $56,800

If the company decides to increase its advertising budget, its net profits will  decrease by $200 (= $56,800 - $57,000).

7 0
3 years ago
_____ exists because people's wants for goods and services are greater than the number of products that can be made from availab
seropon [69]
Scarcity exists because people's wants for goods and services are greater than the number of products that can be made from available resources
3 0
3 years ago
_________________ involves planning, implementing, and controlling the physical flow of goods, services, and related information
gogolik [260]

Answer:

Logistics

Explanation:

Logistics is the process of managing the movement of merchandise or resources from their point of origin to the intended consumer.  Logistics in an organization is the management of mobility and storage activities undertaken by the company. Logistics management will involve the identification of distributors and suppliers of the company's products.

Poor logistics will hurt business performance. If the company's products are not available for consumers to buy,  low sales will be realized. An inefficient logistics system will make company products expensive.  As a result,  the company's goods becomes uncompetitive in the market.

8 0
3 years ago
Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory is as follows: Product Tota
balu736 [363]

Answer:

Tatum Company

1. The carrying value of inventory at December 31, 2021, assuming the LCNRV rule is applied to individual products is:

=  $ 303,000

2. Adjusting Journal Entry:

Debit Cost of Goods Good $38,000

Credit Inventory $38,000

To write-down the value of ending inventory.

Explanation:

a) Data and Calculations:

Product   Total Cost     Total Net Realizable Value    LCNRV

101            $ 136,000        $ 108,000                           $ 108,000

102               99,000             118,000                               99,000

103               68,000             58,000                                58,000

104               38,000             58,000                                38,000

Total        $ 341,000       $ 342,000                          $ 303,000

Write-down:

Cost of inventory =    $341,000

LCNRV of inventory    303,000

Inventory write-down $38,000

8 0
3 years ago
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