Answer:
1a.
Magic Realm, Inc.,
Contribution format income statement
Per Unit Amount
Sales 62 2,207,200
Variable expenses 42 (1,495,200)
Contribution margin 20 712,000
Fixed expenses (623,000)
Net operating profit 89,000
1b.
Degree of operating leverage: 4
2. The expected percentage increase in net operating income for next year: 184%
Explanation:
1a. Please refer to the answer part
1b. Degree of operating leverage = Contribution margin / net operating profit = 712,000/89,000 = 8.
2.
Expected percentage increase in net operating income for next year = Expected percentage increase in sales next year x operating leverage = 23% x 8 = 184%
Answer: Has competitively valuable value chain match-ups with the company's present businesses such that its businesses can perform better together than apart.
Explanation:
The better-off test of diversification is that the company must gain a return that is higher than incremental growth. Incremental growth is usually defined a 1 + 1 = 2 formula and this test argues that Diversification must provide more than this such that the company achieves synergistic growth ( 1 + 1 = 3) which is what happens when different entities work better together than alone.
Diversification should therefore be into an area that will be able to match-up with the company's present businesses such that its businesses can perform better together than apart and produce even greater returns.
So, A has to apply for Sales Orientation Strategy.
All a deals situated with Sales Orientation is one in which an organization concentrates it's showcasing endeavors on selling the item that they produce. This procedure is viable for organizations that sell 'unsought' merchandise, for example, internment plots and disaster protection(life insurance), and yet can be hazardous for other people.
So, If A company start focus 100% on their marketing strategy they definitely achieve more and more customer for their Automotive company and it creates the best Ranking and good or excellent Word-of-Mouth.
Word-of-Mouth showcasing is the point at which a customer's advantage in an organization's item or administration is reflected in their day-to-day dialogues.
Rankings in Web optimization allude to a site's situation on the web crawler results page.
To learn more about Sales Orientation.
brainly.com/question/28360584
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Answer:
Customer Cost Marginal cost Total Revenue Profit
1 $30 0 10 -20
2 $32 2 20 -12
3 $35 3 30 -5
4 $38 3 40 2
5 $42 4 50 8
6 $48 6 60 12
7 $57 9 70 13
8 $68 11 80 12
Therefore, profit from the 7th customer load is the highest. So, he want 7th customer load.
Answer:
A normal good is a good whose demand increases when income increases
Explanation:
Normal goods are goods that are goods whose demand increases when income increases and falls when income falls
Inferior goods are goods whose demand falls when income rises and increases when income falls.
For example, if when your income was $100,000 per annum, you had one car but when it increased to $500,000, you bought two more cars. Car is a normal good
