and pricing the products affordably‚ we can gain customers’ loyalty and awareness. Since our company’s main focus is premium products we will aim for high contribution margins‚ around 50%‚ on average‚ over all five products. After establishing our company brand and products within the market we will look to increase contribution margin to be between 55%-60% over all five products. Our company’s optimal balance is to have variable costs outweigh fixed costs unless our company gains rapid
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Contents 1-Introduction 2 2-1 Cost Behavior‚ benefits and difficulties ahead 3 2-2 Using CVP as a mean for Prediction 4 3- Conclusion 6 4- Reference 6 1-Introduction A good understanding of the relationship between cost and activities in a company is necessary for managers in every type of organization and this clothing manufacturing company is concerned because they do not have this understanding and what benefits it has for guiding managers to understand the changes
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2012 MKTG 675 (Advanced Marketing) Dr. Callow Harrington Collection “Sizing Up the Active-Wear arket” Final case study OLUWASEYI OMOKANYE [Type the company name] 1. Apply Porter’s five forces model to determine the overall attractiveness of the women’s apparel industry. Within the context of Porter’s model‚ how would you categorize the growth potential for the industry as a whole? What is the average pricing trend in women’s apparel‚ and what are the main factors that are leading
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Cost-Volume-Profit Analysis Self-Test Questions 1. The difference between the sales price and the total variable costs is the contribution margin. (D) 2. The breakeven volume in units (perfume sticks) for 2005 is TR-VC-FC=PBT MR=900000/1800 = 500 TR-VC-FC=0 VC/Q = 495000/1800 = 275 Q*MR - Q(VC/Q) = FC Q = _____FC_____ MR-VC/Q Q = 247500/(500 275) Q=1100 Therefore (B) 3. If sales volume is expected to be 2100 units with prices/costs same‚ after-tax net income is expected
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Scenario Analysis ------------------------------------------------- Year | ------------------------------------------------- Scenario 1 | ------------------------------------------------- Scenario 2 | ------------------------------------------------- Scenario 3 | ------------------------------------------------- | ------------------------------------------------- 15% Better | ------------------------------------------------- Stated Forecast | -------------------------------------------------
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possible that TPF may have to give up more than a 25% gross margin to get freezer space. Assuming that food brokers do get distribution into supermarkets‚ the following breakdown shows recommended selling prices (as well as‚ variable costs and contribution margins). Price to consumer: based on the notion that Show Circuit will be sold as a premium priced item
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600 at 1‚000 units‚ $7‚000 at 2‚000 units‚ and $9‚200 at 3‚000 units. This cost is a Question 3 options: mixed cost step cost variable cost fixed cost Ans : Mixed Cost Question 4 (1 point) Winny’s Office Furniture has a contribution margin ratio of 16%. If fixed costs are $178‚800‚ how many dollars of revenue must the company generate in order to reach the break-even point? Your Answer: $ 1‚117‚500/- Question 4 options: Answer Question 5 (1 point)
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ACCTG 101 Assignment 01 Due 08 April 2013‚ 4 p.m. Assignment 01 will be marked out of 40 marks and is worth 4% of your final grade. Overall Presentation Communication: A high standard of written expression and presentation is expected of your assignment. Correct spelling and grammar are essential. Discussions should be concise‚ structured in a logical order‚ and relevant to the question. Refer to The Business of Writing: Written Communication Skills for Commerce Students by E. Manalo‚ G. Wong-Toi
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This set of 28 questions‚ taken from prior examinations‚ covers topics in Chapters 6‚ 7‚ and 9. The purpose of sample multiple choice questions is to acquaint you with the style and substance of typical exam questions on this material. Please be aware that: 1. multiple choice format questions are only one of many resources available to prepare for testing events – reading textbook chapters and working through chapter examples‚ studying the end-of-chapter review problem and accompanying
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Table of Contents INTRODUCTION GEZ Bhd is the major oil company in Malaysia has conducted two main businesses‚ which is the fuel business and the convenience store business. Under the fuel business‚ the petrol stations sold Petrol Ron 95 (R95)‚ Petrol Ron 97 (R97)‚ and Diesel. Mr Aiman was as an Area Manager is responsible for directing the sales activities of more than twenty petrol stations in the northern region of Malaysia. They are having a difficulty to sustain in the business even
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