1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
alexira [117]
3 years ago
9

As she digs deeper into the data, Ophelia realizes that while discounters do have a high profit level, discounters are quite low

in terms of return on sales. How can this be explained?
Business
1 answer:
zlopas [31]3 years ago
7 0

Answer: Return on sales is calculated based on sales volume and not profit

Explanation:

This can be explained by understanding the scenario; the price that discounters pay is lower than any other channel. Discounters have high variable cost, they only pay $52 for the Russel with 41percent return on sales. They also larger fixed costs than the other channels and the return on sales is calculated based on sales volume and not profit.

You might be interested in
UPS, a delivery services company, has a beta of 1.1, and Wal-Mart has a beta of 0.7. The risk-free rate of interest is 4% and th
Brrunno [24]

Answer:

7.78%

Explanation:

Calculation for the expected return on a portfolio

First step is to calculate the portfolio beta

Portfolio beta=30%*1.1+30%*0.7=1.15

Portfolio beta=0.33+0.21

Portfolio beta=0.54

Now let calculate the expected return using this formula

Expected return=rf+(Portfolio beta*mrp)

Let plug in the formula

Expected return=4%+(0.54*7%)

Expected return=7.78%

Therefore the expected return on a portfolio is 7.78%

7 0
3 years ago
Explain the concept of noise while trying to communicate
viva [34]

Answer:

In communication studies and information theory, noise refers to anything that interferes with the communication process between a speaker and an audience. It's also called interference.

Explanation:

effect does “noise” have in the communication model? It distorts and obscures the sender's intended message.

8 0
3 years ago
Leisure Time Corp. follows the practice of paying all employees for vacation. The vacation pay is not vested, but it carries ove
Goryan [66]

Answer:

Accrued as a current liability

Explanation:

From the question we are informed about Leisure Time Corp. which follows the practice of paying all employees for vacation. The vacation pay is not vested, but it carries over for one year if unused. In this case The obligation for earned but unused vacation should be Accrued as a current liability. current liabilities in accounting are liabilities in the firm that involves cash when settling it, in the fiscal year as well as operating cycle of a particular company

3 0
3 years ago
Alfred has set up a company. On day 1 he bought inventory, paying 6,000.0 on credit, due for payment on day 10. On day 2 he make
9966 [12]

The operating working capital that Alfred is going to have at the end of the day would be $12500.

<h3>How to solve for the working capital</h3>

The formula for the working capital = current assets - current liabilities

Current assets = $12500

current liabilities = 0

This is because, by the 10th day, he is supposed to have paid account payable.

The working capital would be = $12500 -0

= $12500

Read more on capital here: brainly.com/question/26214959

#SPJ1

7 0
2 years ago
The short-run average total cost (ATC) curve of a firm will tend to be U-shaped because Group of answer choices larger firms alw
DaniilM [7]

Answer:

at low levels of output, AFC will be high, while at high levels of output, MC will be high as the result of diminishing returns.

Explanation:

In Economics, the law of diminishing marginal utility states that as the unit of a good or service consumed by an individual increases, the additional satisfaction he or she derives from consuming additional units would start decreasing or diminishing as the units of good or service consumed increases.

The short-run average total cost (ATC) curve of a firm will tend to be U-shaped because at low levels of output, average fixed cost (AFC) will be high, while at high levels of output, marginal cost (MC) will be high as the result of diminishing returns.

This ultimately implies that, the average fixed cost (AFC) will be high at small (low-level) output rates while marginal cost (MC) will be high at large (high-level) output rates due to diminishing marginal returns.

As a result of the law of diminishing marginal returns, a business firm would experience some rising per unit costs in the short-run.

In conclusion, an increase in the level of output for a business firm will eventually lead to an increase in average total cost (ATC) and marginal cost (MC) due to the law of diminishing marginal returns.

8 0
3 years ago
Other questions:
  • Joyce's investments earn 5% nominal annual return right now while the inflation rate is at 1%. If inflation increases to 5%, it
    15·2 answers
  • ________ measures the percentage of profit earned on each sales dollar before interest and taxes but after all costs and expense
    8·1 answer
  • The following are the transactions of Spotlighter, Inc., for the month of January:
    11·1 answer
  • The lower the user's switching costs:
    14·2 answers
  • Which of these transactions would produce $10,000 of revenue in December? (check all that apply)
    11·2 answers
  • SuperOil has a debt-to-value ratio of 15%. Its revenue is 100,000 per year and cost is 70,000 per year forever. Its cost of debt
    7·1 answer
  • Henway Inc has a clause in its employment contract that identifies the state law that will apply to any disputes that arise unde
    6·1 answer
  • Highlight the possible risks and problems that should be addressed during the implementation process
    8·1 answer
  • \AllCity, Inc., is financed 40% with debt, 8% with preferred stock, and 52% with common stock. Its cost of debt is 5.7%, its pre
    13·1 answer
  • What account below is not an asset?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!