A sophisticated sales test might involve manipulating an advertising variable like schedule or copy through cable systems, and observing the affects on purchasing at local supermarkets.
What is advertising variable?
- Although advertising expenditures can change greatly, they are not regarded as variable costs.
- Instead, marketing costs are fixed, meaning they don't change based on how many goods or services you offer to customers.
Why is marketing considered a variable cost?
- Businesses may set aside a specific amount for advertising within their fixed marketing budget, despite having a fixed budget for marketing.
- Advertising is therefore a current expense rather than a fixed one. Therefore, whether it be print or online, businesses must spend money on advertising.
Learn more about advertising a variable cost
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Answer: $0
Explanation:
Wood company's value is carried in Jones company books as $5,100,000 which is less than the fair value of $6,000,000. There is therefore no goodwill because the fair value is larger than the carrying value and goodwill only exists if the reverse is the case.
If there is no goodwill, there can be no goodwill impairment so goodwill impairment recognized in 2021 is $0.
Answer:
Maximum total profit = $4,800
Explanation:
When a business is faced with a problem of shortage of a resource which can be used to produced more than one product type, to maximize the use of the resource , the business should allocate it for production purpose in such a way that it maximizes the contribution per unit of the scare resource.
Therefore the Company should allocate the budget cost to maximize the profit per production cost. This is done as follows:
Calculate the profit per budget cost and rank the product
Gasoline Heating oil
Profit per product cost 3/6=0.5 4/8= 0.5
The two products produce the same profit per dollar of cost which is $0.5. So, they are equally ranked.
So the total profit= the budget cost × profit per budget
= 9,600× $0.5 =$4,800
Maximum total profit = $4,800
Answer:
a) 0.667
b) Yes
Explanation:
Data provided in the question:
Mean = 0.04
Standard Deviation = 0.003
Upper Specification Limit, USL = 0.046
Lower Specification Limit, LSL = 0.034
Now,
a) Capability Index is given as:
Cp = 
or
Cp = 
or
Cp = 0.667
Also,
Cpk = min(
or
Cpk = min(
or
Cpk = min( 0.667
, 0.667 )= 0.667
Since,
Cp and Cpk are same in this case
therefore, it is ideal condition and process is capable
b) yes