Answer:
B) $12,825
Explanation:
In order to calculate the worst case scenario of sales first we need to calculate the worst case for sales of units.
The Company estimates that 5,000 units will be sold with a 10 percent plus-or-minus range. So, let calculate the worst case for the sale of units, in this case being 90% of the 5,000 unit estimate. Calculate 90% of 5,000, and this gives us 4,500 units as the worst case scenario.
To calculate the the worst case scenario for price, lets use the $3.00 per unit estimated by the Company, and apply the same concept, however, taking into account that sales price has a 5 percent plus-or minus range. So we caclulate %95 of $3.00, and this gives us $2.85 as our worst case scenario for price.
Now, we take our worst case scenario for amount of units and price:
4,500 units x $2.85 = $12,825
$12,825 is the total dollar amount for the worst case scenario of this product.
Answer:
a. New Strategic Projects
b. Trend Analysis
c. Environmental Scanning
Explanation:
In the statement a, the strategy followed is based on project. This amendment is viewed as a project rather than a business goal. This is one off modification in the system to automate the deposits and have check and balance with ease.
In statement b, the study of interest rates of past 5 years is trend analysis. Past events are analyzed to predict the future.
In statement c, the environmental analysis is done. The democratic candidate will impose higher taxes and republic candidate will lower the taxes, this is considered as environmental scanning.
Two key components of corporate profitability are INDUSTRY STRUCTURE AND COMPETITIVE ADVANTAGE. Corporate profitability has to do with the economics indicators which calculate the net income of a company by making use of different measurement techniques. It is an effective tool which is used to give an overall overview of a company's performance.
Answer:
B.
C.
Explanation:
Option A is incorrect because; it is not clear who is he and what he grabbed form the air. Further, it is also not clear who's her.
Option D is incorrect because; it is not clear who are they. And it is a grammar rule that, do not use “they” when referring to unspecified persons.
Answer:
Company net income will DECREASE by $2,000 if the order is accepted.
Explanation:
Company net income will DECREASE by $2,000 if the order is accepted.
Additional order will produce additional sales revenue of $150 per unit
The marginal cost for this order = Variable costs (Direct material + Direct labour + variable cost) =$152 per unit
Since the marginal cost ($152) is more than the revenue ($150)per unit, there will be a loss of $2 per unit.
So the net income of the company will DECREASE by $2000 ($2x 1000)
