Explain how the sales mix can affect the profitability of a company.

Q: Contribution margin ratio definition and how is useful in planning business operations?

A: Solution:- Contribution margin ratio definition as follows:-

Q: Discuss the Cost- Volume- Profit assumptions and its importance to the business organization in…

A: Cost Volume Analysis is a process of study of the relation between the costs of the product, volume,…

Q: Explain an example of profit oriented companies.

A:

Q: Define the term sales mix.

A: The sales mix is a calculation that determines the proportion of each product a business sells…

Q: How do companies add value, and what arethe dimensions of performance that customersare expecting of…

A: Step 1: The companies may add through the following things: Research and development, Proper…

Q: Describe the ways to increase sales and profitability

A: Sales indicate the revenue generated by the business entity in consideration of offering their…

Q: Define sales returns.

A: Sales:   It is the goods and services sold by one company to their customers for a period.

Q: What is opportunity cost and how does it affect the decision-making process for business decisions?

A: Discuss the opportunity cost and the way how it affects the decision making process for business…

Q: “The traditional income statement format arranges the data in a way that allows management to more…

A: Income Statement - It is a financial statement that shows income and expenditure of the company for…

Q: Define the term profit Margin on Sales?

A: The profit margin on sales is the ratio of net income to sales. The profit margin on sales is…

Q: A decision about one product is said to have ________ effects when a change in the sales of one…

A: A decision about one product is said to have ________ effects when a change in the sales of one…

Q: Define return on sales ( or profit margin).

A: Financial ratios represent the accounting ratios computed by the management by using elements of…

Q: explain the transfer pricing method that is used / can be used in this company. Explain the…

A: Transfer pricing is the price at which different parties interact with each other . A…

Q: What is the percentage of sales approach

A: Percentage of Sales Approach This is an important tool in which the management are using for the…

Q: culate sales

A: Current month Ending Inventory Will be the next month beginning inventory.

Q: What level of importance do product costs play in the business process? what kind of management…

A: Product cost: Cost incurred to produce a product is called product cost. It includes the cost of…

Q: How is the profit margin on sales calculated?

A: Profit margin on sale: it's categorized under profitability ratio , generally this ratio is used to…

Q: The difference between informal and formal business selling

A: Informal and Formal Business : Formal business is a business that is well formalised and its goals…

Q: What advice would you give those who want to invest in this company? (recommendations)  (based on…

A: Before investing in any companies’ securities, performance and growth is evaluated by considering…

Q: What is meant by the term sales mix? What assumption is usually made concerning sales mix in CVP…

A: Sales mix of a product is the proportion of a product sales in overall sales of the company. A…

Q: Discuss the importance of measuring and managing marketing return on investment?

A: Marketing return on investment is refer as the return on investment generate from marketing…

Q: What is meant by the term sales mix?

A: Sales Mix: Sales mix is the relative proportion or ratio of a business's products that are sold.…

Q: Explain profit margin on sales

A: Profit margin on sales is calculated by using the following formula: Gross Profit/Sales Revenue*100…

Q: How do companies recognize revenue from a performanceobligation over time?

A: Revenue recognition: GAAP states that under specific conditions only revenue is recognized and…

Q: Explain how useful income based valuation in a business.

A: In income based valuation approach the company future value of the business can be estimated in…

Q: Explain the meaning of transfer pricing and how a company could price products passing from one…

A: Transfer price: Transfer price is a price charged on the goods manufactured by the one division and…

Q: How to calculate cost of sales

A: Introduction: Ending Inventory: The unsold inventory for the period is called Ending Inventory.…

Q: Why Gross sales is important in a Company?

A: Gross sales: Gross sales is a metric for the total sales of the company, that are unadjusted for the…

Q: 1. Customer profitability analysis allows managers to do which of the following? a. Identify the…

A: Answer: As per Q/A guidelines, first question has been answered. Please repost remaining question.…

Q: Which of the following is the primary goal of a firm? Multiple Choice Maximize sales

A: in firm there are shareholders and stakeholders. Shareholders are owners of company

Q: What is meant by customer-profitability analysis? Give an example of an activity that might be…

A: Customer Profitability Analysis:  It is the process of ascertaining the amount of revenue earned…

Q: Why performance ratio in a business or company is important?? *Purpose of performance ratio?…

A: Performance Ratio: The performance ratio, often known as PR, compares the actual production for a…

Q: Why are the customer perspective measures important when a company is doing financially well?

A: Customer perspective measures: It refers to the measures which are considered while viewing the…

Q: price

A: Introduction: Price plays an important role in the success of an organization. Products or services…

Q: What is JetBlue’s strategy for success in the marketplace? Does the company rely primarily on a…

A: JetBlue’s strategy has the main focus on "Direct Business Model" which results into eliminating the…

Q: i)Calculate the profit from sales mix 1: ii) What is your suggestion on the sales mixes to the…

A: i) Element of cost S12 D13 Sales 200 150 Direct material -100 -80 Direct labour -40 -30…

Q: Define Profit margin on sales.

A: Financial ratios are used to interpret the financial statements. Each financial ratio helps in…

Q: Describe the business functions in the value chain?

A: The concept of value chain was described by Micheal Porter which implies the set of particular…

Q: Why would a company’s manager be concerned about the quantity of its purchases returns if its…

A: Purchase returns means return of merchandise to the suppliers or vendors due to low quality or any…