Discuss possible strategies of the company to decrease breakeven point, Contribution margin, and increase profitability without increasing the selling price per unit.
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- Which of the following items will not cause the company's ROA to increase? Multiple Choice O O Reducing costs. Reducing company assets without impacting sales. Increasing company assets. Increasing the selling price per unit. $Break-even analysis is concerned with determining a point at which the company can minimize total cost and maximize total revenue. At that point, the company makes the highest profit. Select one: True FalseIf a firm's marginal revenue is smaller than its marginal cost, then the firm should collect additional information before taking any action. increase output to increase profit. keep output the same decrease output to increase profit.
- 6. What will be the impact on a company's profit if sales mix shifts between low margin and high margin products? Explain different possible scenarios.Break-even analysis is concerned with determining a point at which the company can minimize total cost and maximize total revenue. At that point, the company makes the highest profit. Select one: O True O False Next page emptContribution analysis and break-even analysis are popular and often used marketing metrics. These analyses are essential to determine if a firm's marketing opportunity will mean a finan- cial loss or profit. As explained in the chapter, contribution is the difference between the selling price per unit and the vari- able cost per unit. Break-even analysis that includes contribu- tion tells marketers how much must be sold to break even or to earn a desired amount of profit. Touch of Beirut Brands is a Los Angeles-based specialty manufacturer of Lebanese specialty foods and ingredients. In the past, the firm has marketed primarily through restaurant
- Which of the following option shows the rate at which company is earning profit? Select one: a. All options are correct b. Margin of safety c. Contribution margin d. Profit volume ratioWhich of the following is not an underlying assumption of a conventional CVP analysis? Multiple Choice Selling price per unit is unrelated to assumed sales volume. Inputs to the profit-planning model are known with certainty. Learning-curve effects (i.e., productivity gains with experience). Fixed costs, in total, do not change as sales mix or total sales volume change. Variable costs per unit are unrelated to changes in volume.Did TTW increase unit sales by cutting prices or by using some other strategy?
- Discuss the problems a company may have by looking at short term profit as a measure of performance.CVP analysis indicates that your start-up will break even with the current sales mix and price levels. You have a target income in mind. What analysis might you perform to assess the likelihood of achieving this income?The difference between the average customer’s willingness to pay and the total costs of a product is known as ______. When a company makes a profit, the difference between the price of the product and the cost of production is known as what? Value creation and value capture are key concepts for which parts of business? If a company innovates in a way that reduces its production costs without affecting any features of the product, would that create value? Suppose a price war was to erupt in the airline market, which causes prices for flights to decline, but affected nothing else about the industry. Would this change the value created by airlines? Suppose a price war was to erupt in the airline market, which causes prices for flights to decline, but affected nothing else about the industry. Would this change the value captured by airlines? Please solve all part and do not give solution in image format thanku