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Answer:
Margin of safety=55.6%
Explanation:
The formula for the operating income is as folows;
operating income=Sales revenue-total cost
where;
operating income=$ 15,000
Sales revenue=S
total cost=variable cost+fixed cost
variable cost=70% of S=(70/100)×S=0.7 S
fixed cost=$12,000
replacing;
15,000=S-(0.7 S+12,000)
15,000+12,000=0.3 S
27,000=0.3 S
S=27,000/0.3
S=Answer:
Explanation:
The formula for the operating income is as follows;
operating income=Sales revenue-total cost
where;
operating income=$ 15,000
Sales revenue=S
total cost=variable cost+fixed cost
variable cost=70% of S=(70/100)×S=0.7 S
fixed cost=$12,000
replacing;
15,000=S-(0.7 S+12,000)
15,000+12,000=0.3 S
27,000=0.3 S
S=27,000/0.3
S=$90,000
Current sales=$90,000
The formula for margin of safety is as follows;
Margin of safety=(Current sales level-break even point sales level)/current sales levels
At break even,
Operating income=0
0=S-(0.7 S+12,000)
0=S-0.7 S-12,000
0.3 S=12,000
S=12,000/0.3
S=40,000
Break even sales=$40,000
replacing;
Margin of safety=((90,000-40,000)/90,000}×100
Margin of safety=55.6%
Answer:
increase with an increase in efficiency and effectiveness.
Explanation:
Environmental scanning is a management strategy that focuses on systematically acquiring informations about occasions, trends, events or patterns through surveys and analysis of these information in an organisation's external and internal environment.
In Business management, the five (5) main organizational features which are capable of changing the direction of a company or business firm are classified as;
I. Culture.
II. Processes.
III. Politics.
IV. Environmental.
V. Structure.
Generally, it is expected that managers understand how the aforementioned organizational features can influence their business so as to build and use informations systems (IS) to drive the business successfully.
Hence, organizational performance in a company or business firm is most likely to increase with an increase in efficiency and effectiveness, especially in the areas of services to customers.
Answer:
According to Ansoff's strategic opportunity matrix, Dietizza has adopted the ________ alternative.
a) market penetration
Explanation:
According to Ansoff's strategic opportunity matrix, Dietizza has adopted the ________ alternative.
a) market penetration
Market penetration means entering the market by increasing sales.
It can be done in a number of ways such as offering discounts, attracting customers through promotion etc.
Decreasing price for a special event which would be again a discount.
Ansoff's strategic opportunity matrix has four strategies.
a) market penetration
b) product diversification
c) product development
d) market development
If the Federal Open Market Committee engages in an open market purchase, it will shift the money supply curve to the right.
When the Federal Open Market Committee engages in an open market purchase, it is conducting an expansionary monetary policy. The aim of expansionary policies is to increase the money supply in the economy.
When an expansionary monetary policy is conducted, there would be an increase in the supply of money in the economy. This would lead to a rightward shift of the money supply curve.
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